Kenya just underscored why it remains the world’s most cash-light economy. Fresh figures from the Communications Authority show 45 million active mobile-money wallets at the end of Q1 2025—a 7.2 percent jump in twelve months and nearly as many accounts as the country has adult residents. Agents are multiplying just as fast, with outlet locations up 5.5 percent year-on-year to more than 320,000 kiosks, chemists and mom-and-pop stores. Yet the most striking constant is Safaricom’s dominance: M-Pesa still commands roughly 90 percent market share, even as Airtel Money and Equitel dangle fee-free person-to-person transfers to lure customers away.
The scale is staggering when you zoom out. Kenyans moved the equivalent of US $126 billion through mobile wallets in 2024—about half the nation’s GDP—settling everything from boda-boda rides and produce-market purchases to school fees and tax bills. That velocity has turned M-Pesa into the de-facto payment rail for East Africa and fuelled Safaricom’s push into Ethiopia, where it already counts 6 million first-year sign-ups. Airtel and Equitel hoped regulatory fee caps introduced last July would erode Safaricom’s moat; instead, the incumbent froze its core transfer fees, leaned on merchant-discount income, and rolled out micro-investment and health-insurance add-ons to keep users sticky.
Still, the challengers are carving niches. Airtel Money’s wallet counts grew 31 percent in the same period, helped by a zero-fee window that undercut M-Pesa on small peer-to-peer transfers. Equitel, owned by Equity Bank, nearly doubled average transaction size by bundling wallets with bank accounts—a play aimed at SMEs that need higher daily limits. Both rivals hope a second phase of fee deregulation slated for January 2026 will loosen Safaricom’s grip further by capping merchant charges.
For global observers, Kenya’s numbers illustrate how quickly mobile wallets can eclipse cash once network effects kick in. In Nigeria, where multiple wallets and bank apps still jostle without a clear leader, policymakers cite M-Pesa’s 90 percent share as proof that interoperability and agent density—not just flashy apps—drive adoption. In Norway and the U.K., where tap-to-pay cards already rule, fintechs eye Kenya as the blueprint for skipping plastic and pushing straight to phone-based instant payments, especially as Apple and Google plot deeper wallet features.
The latest data also shores up Safaricom’s argument to investors that M-Pesa is no longer just a Kenyan cash cow but a regional platform. With 45 million domestic subscriptions locked in, the telco can turn attention—and cap-ex—towards scaling its Ethiopian subsidiary and licensing the platform in francophone Africa. Meanwhile, Airtel and Equitel must decide whether to keep subsidising fee-free transfers or diversify into credit products that can wring revenue from their growing but still smaller user bases.
For now, one fact is unambiguous: nearly every Kenyan adult already has a mobile wallet, and nine out of ten of those wallets live inside M-Pesa’s walled garden. Anyone betting on dethroning Safaricom will have to beat the combination of network ubiquity, agent reach and relentless product expansion that keeps Kenya’s mobile-money machine humming.
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