Absa Bank Kenya, in its latest move to revise transaction limits, has announced a significant reduction for account-to-mobile wallet transfers, lowering the per-transaction cap by 70%, from KSH 500,000 (~USD 3,860) to KSH 150,000 (~USD 1,158). The daily transfer limit has also been adjusted to KSH 300,000 (~USD 3,816), as part of efforts to enhance transaction security and safety.
In addition to the changes in wallet transfers, Absa has also updated its internal transfer policies. Customers can now transfer up to KSH 500,000 daily between Absa accounts. This change aims to maintain operational flexibility while ensuring robust security measures.
Alternative transaction channels such as the Absa mobile app, online banking, and PesaLink remain unaffected. Customers can still execute transactions of up to KSH 500,000 on these platforms, preserving convenience for higher-value transactions.
While the bank has not provided a specific reason for these changes, it has emphasised its commitment to enhancing customer security and safety.
” This decision was taken purely in the interest of enhancing the security and safety of customer transactions. Customers can still transact to their maximum limit of 500k on our other channels including the Absa App, Absa Online Banking and Pesa Link. Our liquidity ratios are well above regulatory requirements,” the bank says.
This move comes shortly after Absa Kenya had increased transaction limits on its Timiza mobile platform in October 2023, following a directive from the Central Bank of Kenya (CBK) to raise mobile money transaction caps.
Under the changes, the maximum amount that one could transact in a single transaction on Timiza was raised to KES 250,000 from KES 150,000. At the same time, the daily transaction limit was increased to KES 500,000 from KES 300,000.
The new revisions represent a strategic pivot, with the bank now prioritizing safety over the expanded limits introduced earlier.
The banking industry has witnessed growing concerns about transaction fraud and cybersecurity threats. By reducing transaction thresholds, Absa aims to address these challenges proactively, ensuring greater protection for its customers.
While the lowered limits might initially inconvenience some customers, Absa’s alternative transaction options offer a balance between safety and accessibility. The bank remains confident that these changes will strengthen its ability to deliver secure financial solutions while accommodating the needs of both individual and corporate clients.
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