A Payment Service Provider (PSP) is an entity authorised by the Central Bank of Kenya (CBK) to provide payment processing, funds transfer, electronic money issuance, or related payment infrastructure services. PSPs are regulated under the CBK’s Guidelines for the Authorisation of Payment Service Providers and the National Payment System Act, 2011.
Fees and Charges
| Fee Item | Amount (KES) |
|---|---|
| Authorisation fee (payable on letter of intent) | 100,000 |
PSP Categories and Minimum Capital Requirements
| PSP Category | Description | Minimum Core Capital (KES) |
|---|---|---|
| Electronic Retail PSP | Payment processing, e-commerce, payment gateway | 5,000,000 |
| Designated Payment Instrument Issuer | Issues payment cards and instruments | 50,000,000 |
| E-Money Issuer (standard) | Issues electronic money | 20,000,000 |
| Small E-Money Issuer | Lower-volume e-money issuer | 1,000,000 |
Application Process
| Stage | Action |
|---|---|
| Name approval | Submit 3 proposed names to CBK for approval before BRS registration |
| BRS registration | Incorporate company only after CBK name approval |
| Application submission | Submit to Director, Payment Services Division, CBK |
| CBK review | CBK may request additional documents within 30 days |
| Letter of intent | Issued by CBK; triggers KES 100,000 authorisation fee payment |
| Authorisation certificate | Issued within 7 days of fee payment |
A key point for applicants: the CBK does not recognise PSP licences from other jurisdictions. A company licensed in another country must establish a separate Kenyan entity and obtain a separate CBK authorisation before operating in Kenya.
Regulated by the Central Bank of Kenya (CBK) under the National Payment System Act, 2011, Laws of Kenya.
Need more information?
Get in touch with Nairobi Online for queries and listings.
hello@nairobionline.com