Paystack, the Nigerian-born fintech company acquired by Stripe, has secured a payment service provider license from the Central Bank of Kenya (CBK), enabling it to facilitate payments and optimise merchant experience for Kenyan businesses. This development follows the company’s expansion into Kenya and its private beta product launch.
Paystack acquired its payment license despite the country’s apex bank showing conspicuous prudence in allocating payment licenses to fintechs operating in the country. Three months ago, the CBK edged out two fintech unicorns—Flutterwave and Chipper Cash—from the Kenyan market, maintaining that they were not licensed to operate in the East African country. Only a handful of startups have received licenses since then, including the homegrown Virtual Pay.
Paystack’s new license will allow it to process payments in Kenyan shillings and USD, provide no-code commerce tools, and enable merchants more control of their businesses through the Paystack merchant app.
“We’re thrilled to announce that Paystack has received a Payment Service Provider Authorisation from the Central Bank of Kenya, which permits us to provide payment services to businesses operating in Kenya!” the company said in a post.
“In every country in which we operate, Paystack strives to build fast, secure, and reliable payment services for businesses and customers. In Kenya – our fourth country where we operate locally, after South Africa, Ghana, and Nigeria – we’re thankful to receive the authorisation required to operate in full compliance with regulations,” it added.
With an army of talented developers behind it, Paystack is gunning to be the leading fintech company helping African businesses to “become profitable, envied, and loved.” The expansion to Kenya is a step in this direction.