Guaranty Trust Bank has announced the scrapping of Pesalink transaction fees for transfers below KES 1,000. This appears to be a calculated bet on growing digital transactions.
The bank revised its Pesalink pricing structure as follows Effective 1st March 2026:
- KES 0 for transactions between KES 0 – 1,000.
- KES 5 for transactions between KES 1,001 – 5,000.
- and KES 20 for transactions between KES 5,001 – 999,999.
With this move, the bank will make low-value digital transfers more affordable. This is good news for customers who make frequent everyday payments.
“At Guaranty Trust Bank, our customers’ daily financial needs guide our decisions. By revising our PesaLink charges, we are making digital transfers more affordable and accessible for everyone,” said Jubril Adeniji, Managing Director of GTBank Kenya.
A Low-Risk, High-Upside Play
The immediate revenue impact may be limited even though the zero-fee band signals an aggressive pricing shift. According to the bank, transactions below KES 1,000 currently account for less than 10% of its total Pesalink volumes.
However, that figure is expected to rise following the removal of fees.
“We take a long-term view of our digital investments. As transaction volumes grow, operational efficiencies and economies of scale help offset associated infrastructure and interchange costs,” the bank said in response to TechArena.
The strategy suggests GTBank is prioritising transaction frequency and digital engagement over short-term fee income. This is a common model among banks seeking to strengthen customer stickiness.
Competing for Payments
The move comes amid intensifying competition for low-value digital transactions in Kenya but GTBank frames the pricing revision as part of its long-term digital strategy.
Historically, the small and everyday transfers have always been dominated by Mobile money platforms. By eliminating fees in the sub-KES 1,000 range, GTBank is positioning Pesalink as a more cost-effective alternative for routine payments.
The bank maintains that the decision was driven by customer value rather than competitive pressure.
“The pricing revision is part of our long-term digital strategy. As customers increasingly rely on fast, low-value digital transactions, we are aligning our pricing to support that shift and make everyday banking more affordable,” the bank said.
GTBank indicated it will continue reviewing its pricing and digital offerings in line with customer needs, suggesting that further adjustments could follow in 2026.
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