Introduction
Kenya is on the verge of a major financial infrastructure upgrade, but a heated battle is unfolding over who will build the country’s new Fast Payment System (FPS) and national digital ID programme. NIBSS or Kenya’s local giants.
On one side, Nigeria’s Interbank Settlement System (NIBSS) and its Kenyan partner, Ceva Limited, are aggressively lobbying for the contract, pitching a system “built in Africa, for Africa.”
On the other, local financial heavyweights like Safaricom and the Kenya Bankers Association (KBA) are pushing back, arguing that instead of creating a new system from scratch, Kenya should simply upgrade its existing PesaLink platform.
The stakes? A potential $200 million contract that could define Kenya’s digital finance future.
NIBSS & Ceva: The African Payment Solution?
NIBSS, owned by Nigeria’s Central Bank and commercial banks, is the powerhouse behind Nigeria’s digital transactions. Their partner, Ceva Limited, is an international payments company with operations in India, Nigeria, Kenya, and Brazil, processing a staggering $40 billion annually.
Their pitch is clear:
🔹 A pan-African financial system similar to India’s RuPay, China’s UnionPay, and Brazil’s PIX.
🔹 AfriGo, a card-processing solution designed to give Africa financial independence.
🔹 Interoperability across banks, SACCOS, mobile money platforms like M-Pesa, and fintech firms.
To secure the contract, Ceva has even requested a direct meeting with Kenyan President William Ruto. A letter from Ceva’s Managing Director, Yatin Mehta, invited Ruto to meet NIBSS officials, including:
📌 Premier Oiwoh, CEO of NIBSS
📌 Yvonne Ige, Head of Partnerships at NIBSS
📌 David Kiprono, Director of Webmasters Kenya Ltd (the team behind e-Citizen)
The message is clear: Africa needs its own financial systems, and NIBSS wants Kenya to lead the way.
The Local Resistance: Safaricom & KBA Fight Back
But not everyone is on board. Kenya’s biggest financial players—Safaricom (M-Pesa) and the Kenya Bankers Association (KBA)—are strongly opposing the NIBSS-led bid.
Their argument?
🚫 Why spend $200 million and wait four years for a new system when PesaLink already works?
🚫 PesaLink processes $8.5 billion annually—upgrading it would be cheaper and faster.
🚫 A completely new system could disrupt financial services instead of improving them.
For Safaricom, which dominates Kenya’s digital payments with M-Pesa, any shift in the country’s financial infrastructure could threaten its market position. The same goes for banks relying on PesaLink.
For them, the best move is simple: enhance PesaLink instead of replacing it.
Central Bank of Kenya: The Decision Maker
For now, the final decision rests with the Central Bank of Kenya (CBK).
🔹 Will CBK choose NIBSS & Ceva, betting on a completely new FPS system that could revolutionize Kenya’s payments industry?
🔹 Or will they listen to Safaricom and KBA, opting for an upgrade rather than a costly overhaul?
If the NIBSS-backed proposal gains approval, it could mean:
✅ A fully interoperable digital payments network across banks, fintechs, and mobile money providers.
✅ Stronger financial independence for Kenya through AfriGo, Africa’s answer to global card networks.
✅ A more connected African financial ecosystem, driven by cross-border innovation.
But if Safaricom and KBA win, Kenya will likely stick with PesaLink, improving it to handle faster transactions at a lower cost.
READ ALSO: The Startups Space Recap: Understanding CBN, NIBSS Move to Regulate Fintechs in Nigeria
Final Thoughts: The Future of Kenya’s Digital Payments
This battle isn’t just about who gets the contract—it’s about the future of Kenya’s financial system.
💡 Will Kenya embrace a new Africa-first payment system, or will it choose stability with PesaLink?
💡 Will NIBSS and Ceva’s vision for an African fintech revolution succeed, or will local players block them?
With $200 million, President Ruto’s involvement, and intense lobbying, the decision could reshape Kenya’s payments industry for decades.
The ball is now in CBK’s court. 🚀💳💰
What do you think? Should Kenya go for a new system or just upgrade PesaLink? Let’s discuss! 👇🔥 #KenyaFintech #NIBSS #M-Pesa
