New insights from the Kenya National Bureau of Statistics (KNBS) reveal that banks dominate remittance inflows into Kenya, capturing 43.7% of the market. Mobile money platforms are also gaining traction, accounting for 33% of these transactions.
During the presentation of the 2025 Remittance Household Survey Report on June 16, 2026, KNBS Director Benjamin Muchiri emphasized the importance of banks in facilitating these funds.
The report highlights that Kenyans abroad increasingly prefer formal financial systems for sending money home, significantly benefiting households.
While banks lead the charge, money transfer operators also play a key role, and informal channels contribute 7.9% of remittances.
However, the survey indicates that high transfer costs remain a significant hurdle for recipients, with 83.3% of respondents citing this issue. Additional challenges include lengthy transfer times (15.2%), strict Know Your Customer (KYC) regulations (14.4%), and limited accessibility (14.1%).
Privacy concerns (11.6%) and unfavorable exchange rates (10.1%) also impact recipients. Other issues include security risks, distance, limited service interoperability, mistrust, and slow interbank transfers.
These findings aim to inform policy reforms that will lower remittance costs and enhance access to safe, quick, and affordable money transfer services throughout Kenya.
