(Nairobi) – Airtel Kenya, the country’s second-largest telecom operator, has partnered with Naivas, Kenya’s largest supermarket chain, to increase its Airtel Money service coverage. The collaboration will transform all Naivas branches into Airtel Money agent outlets, enabling customers to deposit and withdraw cash seamlessly across the country.
In a statement on Tuesday, Airtel Money Managing Director Anne Kinuthia-Otieno said the partnership demonstrates the company’s focus on making its mobile money services easily accessible to customers by strengthening its agent network.
Airtel is also running a promotional campaign called Rudishiwa Transaction Fee, which reimburses withdrawal transaction fees as airtime. This move complements its free money transfer services for Airtel-to-Airtel transactions, while maintaining charges for transfers to rival platforms like Safaricom’s M-Pesa.
| Airtel Money Expansion Features | Details |
|---|---|
| New Agent Locations | 109 Naivas branches nationwide |
| Promotion | Free withdrawals with airtime reimbursement |
| Free Transfers | Airtel-to-Airtel transactions |
The deal with Naivas is part of Airtel’s broader strategy to expand its mobile money services and address the challenge of a limited agent network. The supermarket chain, founded in 1990, boasts 109 outlets and employs over 10,000 staff, making it a strategic partner for Airtel.
Airtel’s efforts to strengthen its Airtel Money platform received a boost last year when the Central Bank of Kenya (CBK) allowed mobile money operators to raise daily transaction limits from KSh 300,000 ($2,050) to KSh 500,000 ($3,410). This policy adjustment has enabled Airtel to attract more high-value users.
Additionally, Airtel revised its transactional policies earlier this year, removing a rule that required users to withdraw money within a week of receipt. Funds no longer revert to senders if unclaimed, aligning Airtel with the CBK’s National Payments Strategy 2022–2025, which promotes seamless mobile money interoperability.
The Communications Authority of Kenya (CA) reports that Airtel Money’s market share more than doubled from 2.8% in June 2023 to 6.6% by June 2024. During the same period, M-Pesa’s market share fell from 97.1% to 93.4%.
| Market Share Comparison (June 2023–June 2024) | June 2023 | June 2024 |
|---|---|---|
| Airtel Money | 2.8% | 6.6% |
| M-Pesa | 97.1% | 93.4% |
Safaricom, the dominant player in Kenya’s mobile money market, has faced challenges following a policy requiring its agents to remain at fixed locations, leading to the closure of 8,344 M-Pesa agent outlets as of March 2024. Safaricom now operates with 262,016 agents, compared to Airtel Money’s growing network of 90,000.