Mobile banking usage in Kenya fell slightly from 34.4 percent in 2021 to 31.2 percent in 2024, according to the 2024 FinAccess Household Survey.
Urban usage came in at 45.5% and rural adoption increased to 23%.
“Traditional banking saw slight increases, particularly among older adults age group (55+), whose usage grew from 25 percent to 32.1 percent likely due to the Government’s cash transfer program.
These trends highlight a shift where younger, urban users favor the use of mobile banks, while older and rural populations rely on traditional methods,” the report states.
Another possible reason for this development is the fact that people in rural areas (58.4%) prefer going to bank branches for banking services, against trends in urban areas which shows that urban residents (48.2%) typically opt for mobile banking services.
“Bank branches remain the most common banking access point (52.8 percent), with women slightly preferring physical interactions (53.3 percent against 52.5 percent for men).
Mobile banking apps are popular, especially among urban residents (48.2 percent), but a gender gap persists, with 41.4 percent of men using apps compared to 34.3 percent of women, reflecting a digital gender divide,” the report states.
“Other common channels include bank agents (19.7 percent), pay bill services (19.5 percent), and online banking (3.7 percent).
Less used channels include Others (include Pesalink, Bank transfers excl. pesalink (e.g. RTGS, EFT), PSPs (pesapal, Jambo pay, pesapay etc),” it adds.
Despite this, the main takeaway from the report is the fact that there has been an 84.8% rise in formal financial access during the year, which interestingly enough, was driven by digital advances and regulatory reforms.
“Formal financial access increased from 83.7 percent in 2021 to 84.8 percent in 2024, driven by digital technology, which nearly closed the gender gap in formal access,” the report states.
The seventh in its series, the 2024 FinAccess Household Survey was put together by the Central Bank of Kenya, the Kenya National Bureau of Statistics, and Financial Sector Deepening Trust Kenya.
