Safaricom introduces PayPal withdrawals within the M-PESA app to attract remote workers in Kenya.
In a strategic move to enhance the usability and reach of its popular M-PESA mobile money platform, Safaricom has announced the integration of a PayPal withdrawal feature directly within the M-PESA super app [5]. This development allows users, particularly Kenya's growing community of freelancers, remote workers, and digital entrepreneurs, to withdraw PayPal funds straight into their M-PESA wallets without needing to use external websites or multiple login steps.
Key features and impacts of this expansion include:
- In-app PayPal mini app: Safaricom introduced a PayPal mini app embedded inside the M-PESA app, enabling users to send, receive, manage, and withdraw PayPal funds seamlessly from their phones [1][4].
- Faster, native experience: The new feature eliminates the previous cumbersome process involving separate web portals, offering a smoother and faster experience that aligns with app-native usage [2][4].
- Steps to link accounts: Users can link their PayPal accounts to M-PESA easily within the app by logging into their PayPal credentials and confirming their phone numbers; both accounts must share the same registered name for successful linking [4].
- Withdrawal and top-up timelines: PayPal funds withdrawals to M-PESA are usually processed within 2 hours, while larger transfers may take up to 3 days. Users can also top up their PayPal accounts using M-PESA, with confirmations potentially taking up to 4 hours [4].
- Target users: This integration caters especially to Kenya’s expanding online freelancing and remote working sector who receive payments internationally via PayPal, thus simplifying access to international earnings locally [1][2].
- Sunsetting old platforms: With this addition, Safaricom is discontinuing the older PayPal-MPESA mobile money site by August 16, 2025, encouraging all PayPal withdrawals to be done exclusively through the M-PESA super app for better security and usability [2].
This strategic move highlights Safaricom’s efforts to enhance the usability and reach of M-PESA by linking it directly to global payment networks like PayPal, fostering financial inclusion for digital economy workers in Kenya [5].
In 2024, Safaricom processed KES 2.3 trillion ($17.83 billion) through the M-PESA app, with transaction volumes and user engagement at all-time highs [3]. The average revenue per M-PESA user grew 9.4% to KES 395.22 ($3.06), and the number of agents in the network rose 14.1% to nearly 299,000 [3]. The daily transaction limit on M-PESA is set at KES 500,000 [6].
Users can now withdraw directly from PayPal via the app, bypassing multiple logins and browser redirects. Mobile money revenue for Safaricom rose 15.2% year-on-year to KES 161.1 billion ($1.25 billion) in the year ended March 2025 [3].
Kenyan users have also turned to alternatives like Wise and Payoneer for international payments due to better FX rates and fewer restrictions [7]. The new feature aims to capture a larger share of Kenya's digital freelance economy.
Sources: [1] Safaricom Blog: https://www.safaricom.co.ke/news/safaricom-introduces-paypal-withdrawal-feature-m-pesa-super-app [2] Techweez: https://techweez.com/2023/03/safaricom-to-discontinue-paypal-m-pesa-mobile-money-site-by-august-16-2025/ [3] Business Daily Africa: https://www.businessdailyafrica.com/mobile-payments/safaricom-m-pesa-processed-sh2-3-trillion-in-2024/ [4] Techpoint Africa: https://techpoint.africa/2023/03/21/how-to-link-your-paypal-account-to-m-pesa-and-withdraw-funds/ [5] Quartz Africa: https://qz.com/africa/2229296/safaricom-m-pesa-paypal-integration-kenya/ [6] M-PESA: https://www.m-pesa.com/help/limits/ [7] Business Daily Africa: https://www.businessdailyafrica.com/mobile-payments/kenyans-turn-to-wise-payoneer-for-international-payments/
- The integration of a PayPal withdrawal feature within the M-PESA super app allows users to manage and withdraw PayPal funds quickly and seamlessly using their mobile devices, directly benefiting Kenya's freelancing, remote working, and digital entrepreneur communities.
- The in-app PayPal mini app introduced by Safaricom for M-PESA users offers a faster, native experience, eliminating the need for separate web portals and multiple login steps, enhancing the usability and reach of the M-PESA mobile money platform.
- This strategic move by Safaricom, linking M-PESA to global payment networks like PayPal, underscores their commitment to fostering financial inclusion for digital economy workers in Kenya, further cementing M-PESA's position in the mobile payments industry and technology landscape.
