Safaricom extends Fuliza overdraft to Pochi La Biashara users

Safaricom has introduced Fuliza Ya Pochi, an overdraft facility that lets qualifying Pochi La Biashara merchants access short-term credit when their M-PESA business wallets lack the funds to complete a transaction.

The service targets more than one million eligible micro-businesses. Merchants can use it to cover temporary cash shortfalls, pay suppliers, buy stock and settle utility bills without waiting for customer payments to come in.

Pochi La Biashara, which serves more than two million micro-merchants, lets informal traders receive customer payments separately from their personal M-PESA funds. The new overdraft brings Safaricom’s Fuliza credit to this segment of small and informal businesses.

“Across Kenya, thousands of micro-businesses face daily cash flow gaps that can mean missed sales, delayed stock purchases, or postponed supplier payments,” said Peter Ndegwa, chief executive of Safaricom.

“Fuliza Ya Pochi helps merchants overcome these short-term challenges while continuing to build their businesses. As merchants transact and grow on M-PESA, they create a pathway to greater financial opportunities.”

To qualify, merchants must have actively used Pochi La Biashara for more than six months. Each merchant receives an overdraft limit based on their business activity and can access the service through the Pochi Mini App on My OneApp or by dialling *334#.

Repayment is automatic. Safaricom recovers the borrowed amount from subsequent payments received in the merchant’s Pochi wallet, so the credit is repaid directly from incoming business revenue. Merchants should weigh the borrowing costs and repayment terms that apply before using the facility.

The launch follows recent measures to cut transaction costs for Pochi users. For three months, customer payments of up to KES 200 are free, while charges on larger payments have been halved, capped at KES 50.

Fuliza Ya Pochi builds on Safaricom’s wider M-PESA credit strategy. The original Fuliza overdraft, launched in 2019, lets customers complete transactions when their M-PESA balance falls short. The company later extended overdrafts to Lipa na M-PESA merchants through Fuliza ya Biashara.

Fuliza has become one of the most widely used credit products in Kenya, though its scale and costs have also drawn scrutiny from regulators and consumer advocates. Extending it to micro-merchants deepens Safaricom’s push to turn M-PESA’s payments data into a lending engine for businesses that traditional banks largely do not serve.

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