Nairobi, Kenya — April 8, 2022 — Today marks a pivotal moment in Kenya’s payment landscape.
This is so as three major mobile money providers, Airtel Networks Kenya Limited, Safaricom PLC, and Telkom Kenya Limited, join forces to introduce mobile money merchant interoperability.
The Central Bank of Kenya (CBK) embraces this milestone, heralding it as a significant leap forward in advancing the nation’s payment infrastructure.
Mobile money challenges
In the past, customers faced a cumbersome ordeal when attempting to transact with merchants on different mobile money networks.
This often entailed resorting to alternative payment methods, such as cross-network transfers, leading to increased complexity, time, and costs.
However, with the introduction of merchant interoperability, customers can now seamlessly make payments to any merchant, irrespective of the network they are affiliated with.
What merchant interoperability means for Kenyans
The implementation of this groundbreaking service not only streamlines payment processes for consumers but also fosters the digitalization of transactions for both large corporations and small businesses.
Leveraging the extensive mobile money rails already in place, this initiative empowers customers with the convenience of making payments hassle-free.
According to the National Payments Strategy 2022-2025, the overarching objective is to furnish customers with a seamless, secure, and cost-effective means of sending and receiving money across any network.
As such, the CBK remains steadfast in its commitment to guiding and facilitating efforts aimed at achieving comprehensive interoperability across the payments ecosystem.
This latest development builds upon the success of person-to-person (P2P) interoperability, which was introduced in 2018.
Looking ahead, future phases will extend interoperability to encompass additional mobile money services, including bill payments and agent transactions, thereby realizing the vision of enabling individuals to “pay anyone, anywhere.”
Increased interoperability not only propels Kenya towards a secure, fast, and efficient payment system but also reinforces its commitment to financial inclusion and innovation.
By fostering collaboration and embracing technological advancements, Kenya is poised to reap the myriad benefits that a modernized payment ecosystem brings.
About Central Bank of Kenya
The Central Bank of Kenya (CBK) is the apex bank and regulator of the financial sector in Kenya.
Established in 1966, the CBK plays a pivotal role in shaping monetary policy, promoting financial stability, and fostering economic development.
