Small and medium enterprises [SMEs] in Kenya are rapidly adopting digital payments, leveraging technology, and forming partnerships to enhance growth and financial stability. According to the Mastercard SME Confidence Index, 91% of Kenya SMEs have embraced digital transactions, improving efficiency and customer experience.
Digital Payments Fueling Business Success
The shift to digital payments has transformed SME operations, reducing cash handling, streamlining supplier payments, and increasing transaction speed. Looking ahead, 97% of SMEs plan to offer user-friendly digital payment options, while 95% intend to accept payments across multiple platforms. Security is also a priority, with 70% of SMEs focusing on safe and cyber-secure payment systems.
Overcoming Challenges Through Financial Access and Cybersecurity
Despite challenges like inflation and rising costs, 66% of Kenyan SMEs expect stable or higher revenues this year. Access to credit remains a priority, with 40% seeking funding for expansion and 21% for daily operations. Businesses are also strengthening cybersecurity as digital transactions grow. Strategic collaborations with private and government institutions play a key role in enhancing financial inclusion.
Mastercard’s Role in SME Growth
Mastercard actively supports Kenyan SMEs by providing digital tools, financial services, and partnerships. A key initiative includes its collaboration with Safaricom, enabling 636,000 merchants to accept digital payments via QR codes and NFC terminals. Additionally, the $126 million Mastercard Foundation Fund for Resilience and Prosperity offers grants and technical support to agribusinesses and digital economy SMEs.
Through innovation and partnerships, SMEs in Kenya are well-positioned for sustainable growth, financial resilience, and long-term success in an evolving digital economy.
