Kenya’s card payments at point-of-sale terminals reached KES 297 B in 2025, a modest but telling increase from KES 291.9 B the previous year that underscores how plastic money is slowly embedding itself deeper into the country’s formal retail landscape.
The number of card transactions rose 4.1 percent to 61.7 million, while point-of-sale machines increased to 54,454 by December 2025 from 48,653 at the end of 2024, according to Central Bank of Kenya data. These incremental gains reflect years of patient merchant onboarding and gradual behavioural shifts.
Cards have long occupied a narrow corridor in Kenya’s payment ecosystem, present in supermarkets, hotel lobbies, and airline counters—places that felt formal and slightly removed from the street economy.
That corridor is widening. Terminals now appear in fuel stations, pharmacies, mid-tier restaurants, and neighbourhood stores. Banks have pushed devices outward, merchant by merchant, estate by estate, and the numbers reflect that slow territorial expansion.
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The latest figures mark another milestone in a long climb that began with KES 43.6 M in 2010, when the Central Bank first published full-year card usage data. By 2015, the value had reached KES 70.7 B. Over the past decade, that base has multiplied more than four times.
Cash remains dominant. The 2024 FinAccess Household Survey shows 79.8 percent of daily expenses are still paid in cash, with mobile money accounting for 13.1 percent and cards trailing behind both. Kenya built its global reputation on mobile wallets, but cash still circulates freely in open-air markets and matatus, while card payments continue their upward creep.
Mobile money agent data adds texture to the picture. The value of cash handled by agents declined 5.3 percent last year to KES 8.2 T from KES 8.7 T in 2024, while transaction volumes rose 2.5 percent to 2.6 billion. Smaller, more frequent transactions are becoming common. The average ticket is thinning.
Cards inhabit a different lane. They are used where formality meets record-keeping. Merchants absorb interchange and bank fees, so consumers feel no direct charge at the till. That structure matters. When payment feels costless to the buyer, friction fades, and behaviour shifts incrementally.
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The only interruption in the upward march came in 2020, when card payments fell to KES 157.7 B from KES 177.3 B as lockdowns closed physical retail spaces and POS machines sat idle. By 2021, as restrictions eased, card usage rebounded to KES 194.3 B, resuming its pre-existing trajectory.
Card usage is typically tethered to physical retail; it thrives in supermarkets, restaurants, and travel desks. When those sectors contract, card payments follow.
Merchants absorb card fees for reasons beyond mere acceptance. Reduced cash in drawers lowers theft risk, reconciliation becomes easier, and accounting systems integrate card records with relative ease.
For medium and large retailers, these efficiencies offset interchange costs. Banks have leaned into this logic, expanding merchant onboarding campaigns and rolling out chip-and-pin cards, contactless capability, and tighter fraud controls.
Yet cards have not penetrated open-air markets or small kiosks in meaningful numbers. Infrastructure costs, settlement timelines, and merchant fees still act as barriers.
Until that friction eases, the majority of low-value daily transactions will remain outside the card system. This creates a layered payments landscape where high-frequency, low-value exchanges stay mobile or cash-based, while higher-value retail purchases increasingly pass through cards.
The decline in mobile money agent cash value alongside rising transaction counts hints at internal recalibration. Consumers appear to be distributing transactions differently, with larger retail purchases migrating toward cards and smaller, routine transfers continuing through wallets. There is no open conflict between channels. Banks issue cards and often partner with mobile platforms. Consumers move between systems depending on context.
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Over time, the economics could sharpen. If card acceptance widens further and merchants negotiate lower fees at scale, cards may capture more mid-range retail spending. Conversely, if wallet providers adjust pricing or integrate deeper with merchant systems, they could consolidate their hold. Policy will influence the direction. Fee caps, interchange regulation, and digital taxation debates have already surfaced in regulatory forums.
The open question is whether that position remains secondary. If POS machines continue rising and transaction values keep inching upward, the compound effect over another five years could be substantial.
Yet the gravitational pull of cash and mobile money remains strong. Cash is free to use and universally accepted. Mobile wallets are embedded in social and commercial life. Cards operate within a narrower corridor of formality and infrastructure.
The latest figures do not rewrite the hierarchy of payments, but they do show that plastic money has carved out durable space in a market once thought to belong almost entirely to mobile wallets.