Kenya: Safaricom Integrates PayPal Withdrawals into M-PESA App to Empower Kenya’s Digital Workforce

Safaricom has enhanced its M-PESA super app with a new feature that allows users to withdraw funds directly from PayPal, streamlining access to cross-border earnings for Kenya’s growing population of freelancers and remote workers.

The newly introduced mini-app integration eliminates the need for users to navigate external web portals or endure delayed transaction processes. With this update, M-PESA users can now transfer funds from PayPal seamlessly within the app—simplifying international payment access and boosting financial efficiency.

This development is a strategic move by Safaricom to tap into Kenya’s booming digital gig economy, where PayPal remains a preferred platform for receiving global payments. The integration complements existing solutions like Equity Bank’s PayPal withdrawal service—Kenya’s only instant, bank-linked option—by offering a faster, app-based alternative particularly suited for small to mid-sized transactions.

Safaricom’s financial results for the year ending March 2025 underscore the increasing importance of mobile money to its overall business. M-PESA revenue surged 15.2% year-on-year to KES 161.1 billion (approx. $1.25 billion), driven by a 20.3% rise in chargeable transactions per active user and a 10.5% increase in monthly active users, now standing at 35.82 million.

The M-PESA app has seen over 13.7 million downloads, serving 4.7 million users and processing KES 2.3 trillion (approximately $17.83 billion) in 2024 alone. Average revenue per user climbed 9.4% to KES 395.22 ($3.06), with the agent network expanding by 14.1% to nearly 299,000 agents—ensuring robust nationwide access to cash-in and cash-out services.

M-PESA wallets support balances of up to KES 500,000 ($3,875), with individual transaction limits capped at KES 250,000 ($1,938) and a daily ceiling of KES 500,000.

While platforms like Wise and Payoneer continue to attract Kenyan freelancers with favorable forex rates and fewer restrictions, PayPal remains a dominant player. By embedding PayPal directly into M-PESA, Safaricom aims to consolidate transaction volumes, enhance user convenience, and further entrench its position in Kenya’s digital financial ecosystem.