Nairobi — The Central Bank of Kenya (CBK) has proposed a sharp reduction in mobile money transaction fees, a move that could ease the cost of transfers for millions of Kenyans.

Under the Kenya National Financial Inclusion Strategy 2025-2028, CBK targets to lower charges from the current average of Sh23 per transaction to Sh10 by 2028.

The regulator says mobile money usage has shown signs of stagnation, with most users relying only on basic services such as person-to-person transfers rather than advanced products like digital credit, insurance, or savings.

If adopted, the proposal will be a major relief to households and small businesses that rely heavily on platforms like M-Pesa and Airtel Money but could reduce revenues for telcos, which depend significantly on transaction fees.

Safaricom, for instance, reported Sh161.1 billion in revenue from M-Pesa in the year ending March 2025, a 15.2 percent rise from the previous year.

The proposed changes will require parliamentary approval before implementation.