Nairobi, July 21 -- The number of banks cutting Pesalink fees has nearly doubled to 19, as lenders roll out free transfers of up to Sh1,000 and a flat charge of Sh20 on larger transactions to attract retail payment flows.

The move, which represents a discount from the charges of up to Sh250 that customers have been paying for Pesalink transfers, aims at capturing a bigger share of person-to-person payments. The discounted price applies to any transaction from a participating financial institution to another.

The number of banks and microfinance banks who have agreed to the discounted tariff has risen from 10 in under two months and now includes five of the top 10 lenders in Kenya.

Absa Bank Kenya and Stanbic Bank Kenya have become the ...