On December 22, 2025, the Capital Markets Authority (CMA) granted regulatory approval to Safaricom Plc and Airtel Money Kenya Limited to operate as Intermediary Service Platform Providers (ISPPs). The licensing marks a notable development in Kenya’s financial sector, formally allowing the two mobile money operators to facilitate access to regulated capital markets products through digital platforms.
In announcing the decision, the CMA said the approval was aimed at strengthening competition and broadening investor access to capital markets. “This licensing is intended to enhance investor choice while supporting the use of technology to widen participation in regulated investment products,” the authority stated. The move aligns with the regulator’s ongoing strategy to modernise capital markets infrastructure and integrate digital channels into investment distribution.
What ISPP licensing means
Under the ISPP framework, licensed entities are authorised to provide technology enabled platforms that connect investors to licensed capital markets intermediaries and products. For Safaricom and Airtel Money, this means their mobile money platforms can be used as access points for services such as investor onboarding, identity verification, transaction processing, and portfolio monitoring, subject to regulatory requirements.
The CMA has previously noted that ISPPs are not fund managers or brokers themselves but act as facilitators that link investors to approved capital markets institutions. This structure is designed to maintain regulatory safeguards while leveraging digital platforms that already serve millions of users across the country.
Role of mobile money in capital markets access
Safaricom and Airtel Money already play a central role in Kenya’s financial ecosystem through their mobile payment services. By extending their services into capital markets access, the two firms are expected to help lower entry barriers for retail investors, particularly first time and small scale participants.
Commenting on the approval, Safaricom said the license would support its broader objective of promoting financial inclusion through technology. Airtel Money also indicated that the regulatory clearance would enable it to expand the range of financial solutions available to its customers within a regulated framework.
Market and industry implications
Market analysts view the CMA’s decision as part of a broader shift towards digital distribution of investment products. Integrating capital markets access into mobile money platforms could improve convenience, reduce transaction friction, and encourage a savings and investment culture among users who are already familiar with mobile financial services.
At the same time, the CMA has emphasised that licensed ISPPs must comply with strict governance, data protection, and consumer protection standards. The authority has reiterated that investor education and transparency will remain key priorities as more digital platforms enter the capital markets space.
Overall, the CMA’s approval signals continued regulatory support for innovation in capital markets, while maintaining oversight to safeguard investors and ensure the stability of Kenya’s financial system.
