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M-Pesa charges reduced effective 1st Jan 2021; Here are the new charges

Safaricom has announced it will be reducing M-Pesa transaction charges effective 1st January 2021. This will come immediately after the expiry of the zero-rated transactions below KES. 1,000 which the Central Bank of Kenya (CBK) has set to expire on 31st December 2020.

The company has said it has been guided by the new set of principles set by CBK controlling mobile money services in its setting of the new charges. Customer will enjoy a reduction of up to 45% for about 90% of the common transactions. It will now cost KES 6 to send between KES 101 and KES 500, down from KES 11. Transactions of between KES 1,501 and KES 2,500 will cost KES 32 down from KES 41. 

All transactions of KES 100 and below will remain free. In addition, all M-PESA customers will continue to enjoy free transactions between M-PESA and bank accounts. The price cuts are permanent with more than 26.8 million customers to continue enjoying lower costs whenever they send money. 

The new reduced tariffs will equally apply to transactions for micro-Businesses under the new Pochi La Biashara service, and for Lipa Na M-PESA businesses using the Transacting Till to make payments.

M-Pesa accounts will still be able to hold up to KES. 300,000 with limits of KES. 150,000 per transaction.

M-Pesa Transaction Charges Effective 1st January 2021:

MinMaxTransfer Fee to M-Pesa Users, Pochi La Biashara, and Business Till to CustomersTransfer to other registered mobile money usersTransfer to unregistered users Withdrawal from M-Pesa Agent
0490Freen/an/a
501000Freen/a10
101500664527
501100012124928
1,0011,50022225928
1,5012,50032327428
2,5013,500515111250
3,5015,000555513567
5,0017,500757516684
7,50110,0008787205112
10,00115,0009797265162
15,00120,000102102288180
20,00125,000105105309191
25,00130,000105105309191
30,00135,000105105309191
35,00140,000105105n/a270
40,00145,000105105n/a270
45,00150,000105105n/a270
50,00170,000105105n/a300
70,001150,000105105n/a300

For those withdrawing M-Pesa using the ATMs, the charges will be as follows:

MinMax ATM Withdrawal Charges
2002,50034
2,5015,00067
5,00110,000112
10,00120,000197

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Dickson Otieno

I love reading emails when bored. I am joking. But do send them to editor@tech-ish.com.

2 Comments

  1. Great info. Safaricom has made a great step by reducing the charges. Though it is still kinda expensive, the telco saved us alot last year when they allowed us to send anything between 0-1000 for free

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