Safaricom has cut M-Pesa transaction fees by 45 per cent in a move that will benefit 90 per cent of Kenyans.
Initially, Safaricom and Central Bank of Kenya (CBK) had agreed to allow free mobile money transaction of Sh1, 000 and below. However the deal for free mobile money transfers has ended but the cost of transaction is reduced by 45 per cent.
According to the new charges, sending between Sh101 and Sh500 will cost Sh6 while sending between Sh1, 501 and Sh2, 500 will cost Sh32. Both charges are down from Sh11 and Sh28 respectively.
Additionally, CBK rejected bankers’ plea to restore their fee transfer of cash between accounts and mobile phones.
The relief of mobile phone transaction was launched in order to encourage cashless payments. It was an effort put by both Safaricom and the CBK to contain the spread of Covid-19.
In addition, CBK says that since the launch, mobile transactions increased by 87 per cent.