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How PesaKit is Providing On-Demand Float to Mobile Money Agents in Kenya

PesaKit - Founder360

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How PesaKit is Providing On-Demand Float to Mobile Money Agents in Kenya

PesaKit, an AI-powered digital assistant (chatbot) for mobile money agents enables the agents to know, manage, and control their float (money).


According to the Central Bank of Kenya, mobile money transactions stood at Sh3.98 trillion (US$38.5 billion) as at 2018 translating to an average value of Sh10.92 (US$108 million) billion mobile cash transactions per day.

The value of mobile money transactions in 2018 was equivalent to 44% of the GDP. These massive transactions reveal the importance of mobile money in Kenya’s economy.

A core part of mobile money in Kenya is the network of agents who provide physical access points for customers to deposit or withdraw cash from their mobile money accounts. For an agent to be effective, they need to have sufficient float (e-float) with mobile money providers to facilitate a deposit or a withdrawal transaction. 

{A float is money that exists in an account that you can access to make payments, transfer money, etc. on your mobile phone, and that you can add to or exchange for cash by visiting an agent.}

Unfortunately, the majority of agents consistently turn away customers because they don’t have sufficient float. They incur a high cost of maintaining liquidity during float top-ups and fragmentation of the agent float if an agent is serving multiple providers which results in increased cash-flow pressure. Agents without float are perennially frustrating for mobile money providers and their customers.

PesaKit, an AI-powered digital assistant (chatbot) for mobile money agents enables the agents to know, manage, and control their float (cash). The app platform enables agents to borrow float (money) enabling effective service to customers who want to deposit or withdraw money.

“The app platform enables agents to borrow float (money) enabling effective service to customers who want to deposit or withdraw money.”

PesaKit conducted a five-month study in 2017 on several agents across the country before creating the product. The study which was aided in part by Digital Financial Services Innovation Lab (DFS Lab), a Bill & Melinda Gates Foundation-backed accelerator involved face to face interviews with agents and in-depth tracking of their float (cash flow) for three months.

“90% of the mobile money agents that we interviewed get their float depleted daily and have to turn away customers. This, in turn, reduces both uptake and usage of the service; hence becoming an inconvenience to the customer, missed revenue opportunity and reputational risk to the agent.” Says Andrew Mutua, the CEO and Founder.

Through predictive analytics by forecasting their inventory needs for the next hour, day, week or month, the app assesses an agent’s creditworthiness and creates a score, where it previously didn’t exist enabling the agent to borrow float (money) when it is required or based on recommendations and insights. 

The recommendations are simple text styled messages, like how much float or cash an agent needs, projected customers and much more. 

PesaKit Chatbot - Founder360

PesaKit Virtual Assistant (Chatbot) | Image: PesaKit

Currently, PesaKit has more than 2000 agents, 150 daily active users on the platform. They are currently targeting to reach 3000 agents by the end of the year.

“At, PesaKit, we are addressing this supply-side challenge of mobile money by improving the agents operational foundations and management with a focus on agent cash and float availability. We believe these are critical factors to the success of access to financial services and significantly reducing the cost of delivering financial services, thereby fostering financial inclusion.” Mutua added.

According to the Mutua, they are currently about to do their seed round while bringing onboard more lending partners.

PesaKit is currently registering agents across Kenya to the smart agent app here.


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