Kenya is considering new payment rules that could require banks and payment providers to share customer data with licensed third parties, potentially opening the door to a broader open-banking market.
The proposal is contained in the draft National Payment System Bill, 2026, developed by the National Treasury and the Central Bank of Kenya (CBK). The bill is intended to replace Kenya’s existing National Payment System Act and create a framework focused on interoperability, innovation, competition, consumer protection and data security.
Under the draft, payment service providers would need to have systems capable of securely sharing customer data with third parties for “open finance purposes”. The CBK would also have the power to require providers to enable data sharing once a customer has given consent.
If implemented, the framework could give licensed fintechs access to information currently held by banks and other payment providers. That could allow new financial services to build on customers’ existing banking relationships rather than requiring them to move their money to a new provider.
The bill creates two relevant categories of payment service providers: payment initiation service providers and account information service providers. The former would be able to initiate payments on behalf of customers, while the latter would provide services that allow customers to access and view information from their accounts.
Both categories are included in the bill’s proposed licensing framework. The draft sets minimum capital requirements of KSh5 million for each category.
The proposed rules do not, however, spell out exactly how data access would work.
The bill says the CBK may require payment providers to enable data sharing after receiving customer consent and would then make regulations to implement the provision. Those regulations would determine important details, including what information can be accessed, how it can be shared and the conditions providers must meet.
That means the bill establishes the framework, while many of the practical rules would come later through CBK regulations.
The proposal would apply across Kenya’s payments sector, including banks and mobile money providers. This is particularly significant in a market where mobile payments are deeply embedded in everyday financial transactions.
The draft also pushes for greater interoperability. Financial and payment service providers would be required to use systems that can work with those of other providers, reinforcing the government’s broader push to make Kenya’s payment infrastructure more connected.
If Parliament passes the bill, existing payment service providers would have one year from its commencement to comply with the new requirements.
For fintechs, the proposed framework could create new opportunities to build services around customers’ financial data. For banks and other payment providers, it would mean adapting their systems to support secure data sharing and greater interoperability.
The CBK and National Treasury are currently seeking public feedback on the draft bill and accompanying National Payment System Policy. The proposals could therefore change before they become law.
