Safaricom M-Pesa Fee Cuts for Small Businesses End on October 31: New Charges Explained

Safaricom’s Pata More campaign has reduced selected M-Pesa charges for small businesses, including free customer payments of up to KSh500 on eligible Lipa na M-Pesa Till accounts and up to KSh200 on Pochi la Biashara.

Small businesses using Safaricom’s M-Pesa services have until October 31, 2026, to benefit from promotional fee reductions introduced under the telecommunications company’s Pata More campaign.

Launched on August 1, the campaign has lowered selected charges for merchants receiving customer payments and transferring money from eligible business accounts. The changes cover Lipa na M-Pesa Till, Pochi la Biashara and certain Paybill transactions.

The reductions could help traders manage transaction expenses, particularly businesses that regularly receive small payments or make frequent payouts to suppliers and employees.

However, the promotional period is scheduled to end on October 31, and merchants should confirm the applicable charges after the deadline.

New M-Pesa charges for Lipa na M-Pesa Till merchants

Under the campaign, eligible Lipa na M-Pesa Till merchants no longer pay a transaction fee when receiving customer payments of KSh500 or less.

Previously, merchants paid 0.55% on transactions between KSh201 and KSh500. Payments of KSh200 and below were already free under the existing arrangement described in the campaign information.

For transactions above KSh500, the 0.55% merchant charge remains in place, subject to a maximum fee of KSh200 per transaction. The maximum is reached at a transaction value of approximately KSh36,363.

The promotional change raises the threshold for free Buy Goods transactions from KSh200 to KSh500.

Fuel merchants are excluded from this change. Their customers continue to pay the applicable transaction charge.

Business Till transfers become cheaper

Safaricom has also reduced selected charges for businesses transferring money from a Business Till to mobile numbers and eligible Paybills.

Under the revised rates, mobile transfers of between KSh10,001 and KSh15,000 cost KSh50, down from KSh100.

At the higher end of the published schedule, transfers between KSh45,001 and KSh250,000 cost KSh54, compared with the previous charge of KSh108.

The reductions apply across several transaction bands, with the new rates representing approximately half the previous charges in many cases.

For example, sending KSh7,501 to KSh10,000 to a mobile number now costs KSh45, down from KSh90.

Pay to Paybill charges have also fallen for accounts operating under the Business Bouquet and One Account Business Bouquet tariffs.

However, Paybill charges under the Mgao and Customer Bouquet tariffs remain unchanged.

Pochi la Biashara users get lower transaction fees

Informal traders using Pochi la Biashara, Safaricom’s payment wallet for small businesses, can also benefit from the campaign.

Customer payments of KSh200 and below are free under the promotional arrangement. Charges on customer payments above KSh200 are capped at KSh50.

Merchants transferring money out of their Pochi wallets also face a maximum charge of KSh50, down from a previous maximum of KSh108.

According to the supplied campaign information, merchants do not need to make changes to their accounts to access the reduced charges. They can continue accepting payments as usual and inform customers about the promotional rates.

Other services included in Safaricom’s Pata More campaign

The campaign extends beyond transaction fees, with Safaricom offering additional services aimed at supporting merchants.

These include Taasi Pochi and Fuliza Biashara for credit, Ziidi Pochi and Ziidi Biashara for savings, and Tuunza Mapato insurance.

Merchants can also access selected data bundles, including Ofa ya Pochi for Pochi users and Zidisha Bundles for Till merchants. QR code payments are also among the tools highlighted for Till businesses.

Pata More additionally covers selected mobile data packages, home and business fibre services, and a bundle designed for taxi drivers.

Safaricom says the measures are intended to make digital payments more affordable, encourage customers to use M-Pesa and help small businesses receive more cashless transactions.

When do the reduced M-Pesa charges end?

The Pata More campaign began on August 1, 2026, and is scheduled to run until October 31, 2026.

With the deadline approaching, merchants should check the terms applicable to their specific M-Pesa products and tariff plans before making financial decisions based on the promotional rates.

The available campaign information does not establish what charges will apply after October 31. Businesses should therefore confirm any subsequent changes through Safaricom’s official channels rather than assume that the reduced rates will continue.

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