The Central Bank of Kenya (CBK) announced the revocation of PayU Kenya Limited’s authorisation as a licensed Payment Service Provider (PSP), following the company’s voluntary decision to cease operations in the country.

The revocation, which took effect on October 13, 2025, officially ends PayU’s tenure as a PSP in Kenya. The firm had been licensed by the CBK on March 23, 2023, to operate within the national payment system framework.

“The Central Bank of Kenya (CBK) has revoked the authorisation of PayU Kenya Limited (PayU) as a licensed Payment Service Provider (PSP). This is after PayU made an official application to voluntarily cease business operations in Kenya,” read the CBK notice in part, dated October 24, 2025.

Strategic exit

According to the CBK, PayU’s Board of Directors made the decision to exit the Kenyan market after a comprehensive review of the company’s strategic direction. The board’s assessment concluded that ceasing local operations was in line with PayU’s long-term business objectives.

As part of the exit process, the company formally applied to the CBK for approval to wind up its operations. CBK confirmed that PayU adhered to all regulatory and legal obligations required for a voluntary cessation of business. This included the full settlement of customer funds and other financial liabilities prior to the revocation taking effect.

Legal and regulatory framework

The revocation was executed under Section 15 of the National Payment System Act, 2011, and Regulation 10 of the National Payment System Regulations, 2014. These provisions empower the CBK to supervise and regulate the operations of payment service providers and to notify the public of any changes in their authorisation status.

In the official statement, the CBK clarified that following the revocation, PayU Kenya Limited will no longer conduct any payment service provider business in Kenya.

Maintaining payment system stability

The CBK reaffirmed its commitment to upholding the stability, safety, and integrity of the payment ecosystem amid evolving market dynamics. It noted that the revocation process was carried out in line with established regulatory procedures to ensure an orderly transition following PayU’s departure.

“CBK remains committed to ensuring the safety, stability, integrity, and efficiency of the payment ecosystem in Kenya.”