Kenya's Central Bank sets high capital requirements for fintechs

Kenya is proposing new capital requirements for payment companies under the National Payment System Bill, 2026. The Central Bank of Kenya (CBK) is establishing mandatory minimum capital thresholds ranging from KES 5 million ($38,610) for basic data services to KES 250 million ($1.93 million) for electronic money issuers.

Existing payment providers will have one year from the law’s enactment to comply with the new capital rules, following CBK guidelines. The proposed regulations could create barriers for early-stage and bootstrapped fintechs looking to enter the market, especially since the bill does not allow shareholder loans, convertible debt, or other borrowed funds to count as core capital.