The money transacted in Kenya via mobile transfer platforms reduced by 17 percent to KES6.59 trillion ($51 billion) last year, attributable to tough economic climate characterized by higher taxation in the country.

According to statistics from the Central Bank of Kenya (CBK), this was the second year in a row that East Africa's largest economy experienced a decline in the value of transactions.

In 2023, data shows that mobile money users in Kenya transacted a total of $61.5 billion (KES7,93 trillion), which was a contraction from the $61.8 billion (KES7.97 trillion) transacted in 2022.

In the 12 months to December 2024, mobile money users transacted the largest amount $6.1 billion (KES 787 billion) in February while September recorded the least amount at $5.1 billion (KES658 billion), CBK data stated.

Last year was a particularly tough year for both individuals and businesses as witnessed by public revolt in June and July when wananchi hit the streets agitating for the dropping of punitive tax clauses contained in Finance Bill 2024.

Equally, there was steady increase in the prices of basic goods and services even as statutory deductions left millions of working Kenyans with thinning income levels. During the year, however, continued to decrease. 

In January, the Kenya National Bureau of Statistics reported that inflation declined to 3.3 percent, which is well within the Central Bank's projected band of 5 percent.

In Kenya mobile money agents stood at 381,116 last year reflecting an increase from the 322,000 reported at the end of December 2023. At the same time, mobile money subscriptions closed the year at 82 million, CBK statistics show.

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