County Launches Digital Payment Incentives for Nairobi Traders

Nairobi City County unveiled a new digital-payments strategy aimed at market traders and micro-businesses, pairing incentives with its no-cash policy for licensing and permit payments. The initiative was announced by the county government as part of its broader revenue-modernisation drive.
Under the programme, the county encourages traders to adopt digital methods—such as payment via the NairobiPay portal—for paying market fees, cess, and licensing charges. Training sessions held on 25 October 2024 emphasised how traders could reduce costs, access rebates, and benefit from streamlined payment systems.By shifting payments online, the county expects to reduce the volume of physical cash transactions and improve transparency in collections while offering lower transaction costs for compliant traders.
The response from Nairobi’s traders has been cautiously positive. Market stall operators welcomed the convenience of paying fees remotely and gaining quicker access to licensing, though some cited the need for continued training and connectivity support in informal market zones. Analysts say the move could enhance revenue collection for the county and improve compliance among informal sector businesses. Challenges remain in ensuring that smaller traders without reliable access to internet or digital devices are not left behind.
Looking ahead, Nairobi City County plans to expand the digital-payment incentives scheme across all market zones in the city, integrate merchant-friendly features (such as lower fees or dynamic rebates for digital adopters), and link the system with national tax and licensing databases. If successful, the programme may help formalise a greater share of the city’s informal trading economy and enhance the ease of doing business for local enterprises.