CBK Revokes PayU Licence as Kenyan Firms Rely on Internal Funds Amid High Credit Costs

The Central Bank of Kenya (CBK) revoked PayU Kenya Limited's payment operating licence, effective October 13, 2025, following the company's liquidation in August 2025. This move ended the Prosus-owned firm’s effort to break into Kenya’s e-commerce gateway market. In a related economic context, a recent CBK survey found that Kenyan companies are increasingly relying on internal funds for operations and expansion. This shift is due to high borrowing costs and strict lending conditions. Meanwhile, global microfinance group Advans is expanding into East Africa, specifically targeting Kenya to support small and medium enterprises (SMEs). Advans aims to bridge the financing gap with data-driven and technology-enabled lending solutions for small businesses.