CBK Adds DhowCSD Mobile Payments for KSh250,000 Bids

In Short

• The Central Bank of Kenya (CBK) has added mobile phone payments for successful government securities bids up to KSh250,000.
• The feature is available inside the DhowCSD mobile app.
• Payments currently work via M-Pesa, and CBK says more mobile payment options may follow.

What Happened

CBK has introduced a mobile payment option for investors who win government securities bids, with a cap of KSh250,000 per payment. Government securities are Treasury bills and bonds, and they are basically loans the public gives the government in exchange for interest.

The new option is delivered through the DhowCSD mobile application. A CSD is a Central Securities Depository, which is a digital registry that records who owns a security, similar to how a bank ledger records who owns money.

According to CBK, investors can initiate payment from the Transaction tab within the app. For now, the supported mobile money rail is M-PESA, and CBK said other mobile payment platforms could be added later.

The move targets retail investors, meaning individuals putting in smaller ticket sizes. It also reduces reliance on traditional banking channels for settlement, which is the final step of paying for a successful bid after allocation.

Why It Matters

First, it lowers friction for everyday investors who buy Treasury bills and bonds. If payment is easier and faster, more people can participate without visiting a bank branch or navigating multi-step transfers.

Second, it fits Kenya’s broader shift toward mobile-first financial access. By plugging mobile money into government securities settlement, CBK is extending mobile payments beyond daily commerce into capital markets.

Finally, this comes as demand for government debt remains strong. CBK recently reported heavy bidding for reopened Treasury bonds, and a simpler settlement flow could widen access for smaller investors as activity stays high.