Postbank PLC and Pesalink have entered a partnership that enables cash deposits at more than 600 Postbank agents and branch locations for customers of other participating banks.

The arrangement uses Pesalink’s shared payments infrastructure, allowing institutions to tap into Postbank’s nationwide agent network without separate bilateral contracts or individual technical integration.

The service currently permits only cash deposits; withdrawals are not yet available, and additional banks and SACCOs are expected to join in the coming months.

Gituku Kirika, CEO of Integrated Payment Services Limited (IPSL), which runs Pesalink, said: “Agent banking remains one of the most important ways that Kenyans access financial services. As the sector evolves, banks and SACCOs have an opportunity to open their existing agent networks to other institutions, allowing customers to access cash services through agents beyond those operated by their own financial institution.”

Dr Raphael Lekolool, Managing Director of Postbank PLC, stated: “Postbank PLC pioneered agent banking since 1978 and has continued to invest in building a strong agent banking presence across Kenya in line with the Bank’s mandate on financial inclusion. Making our network accessible to customers of other participating financial institutions allows us to extend the value of that investment while creating more opportunities for our agents to serve customers.” He added: “Through this arrangement, we can support greater access to banking services while making better use of the infrastructure we have already established.”

Postbank has previously offered agent banking to other institutions through bilateral agreements; the new link expands that capability via a shared platform.

Kenya has more than 93,341 bank agents according to one source and more than 93,000 according to another, highlighting the extensive physical cash network that remains vital despite digital payment growth.

The collaboration is expected to improve financial inclusion by increasing the number of locations where customers can conduct cash deposit transactions and by allowing participating institutions to leverage existing infrastructure.

Pesalink is owned by the Kenya Bankers Association, while Postbank, founded in 1978, is wholly government-owned.