Majority of Kenyans have moved to cashless transactions since the emergency measures were set to support cashless deals, new data shows.
The average number of daily mobile money transactions carried out by Kenyans since the measures were set has soared by 9.4 per cent, according to CBK
On March 16, Central Bank of Kenya announced a set of measures to facilitate increased use of mobile money transactions instead of cash and this has seen a spike in the transactions.
The bands between Sh100 to 500 and Sh501 to 1000 recorded increased transaction volumes and values as the waiver of fees for up to Sh1000 encouraged more mobile money transactions.
CBK also allowed telecommunication companies to extend the tariff threshold on mobile money transactions from an upper limit of Sh70000 to Sh150000 and lift the mobile money wallet limit to Sh300000.
The new Sh70,001 - 150,000 band recorded an average 5,457 transactions worth Sh564.48 million per day justifying the introduction of the higher limit for mobile money.
The new band also recorded an increased average of 19,949 transactions per week worth an average of Sh339 million over the last two months.
Except for bands 10001- 35,000 and 35001-70000, all the other bands recorded increased volume and value of transactions.
The average value of all mobile money transactions per day was however on the decline shedding 5.1 per cent to stand at a mean of Sh7.5 billion.
Transfers between banks and personal mobile wallets rose at a higher 22.2 per cent on a weekly basis since the waiver on fees to stand at Sh2.2 million in a day with an accompanying value of Ksh.17.4 billion.
“The increase in values of bank to e-wallet transfers may imply some success in the measure of reducing use of physical cash by Kenyans,” CBK said.
The emergency measures apply up to June 30 subject to review by the sector’s regulator.
