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    August 28, 2025

    Why Kenyan Businesses Need Virtual Accounts for Faster, Localised Payments

    Kenya is quickly becoming East Africa’s tech powerhouse. From e-commerce and fintech to agritech, climate tech, and edtech, the country’s startups are attracting global attention and nearly $800 million in funding in 2023 alone.

    As the tech scene flourishes, Kenyan businesses are also getting increasingly involved in local and international trade, reaching more customers and expanding into new markets.

    Despite this growth, many Kenyan businesses still face slow payments, delayed settlements, and operational bottlenecks that can hold back expansion. For startups and SMEs eager to scale, these challenges can be costly.

    To stay competitive and grow seamlessly, Kenyan businesses need fast, efficient, and localised payment solutions, such as virtual accounts.

    What are virtual accounts?

    A virtual account is a unique, bank-like account that businesses can use to receive payments directly into their wallet. Unlike traditional accounts, virtual accounts are designed for speed, transparency, and convenience. Each account is unique to the business, and funds are credited automatically to the associated wallet.

    Benefits of using a virtual account for Kenyan businesses

    • Faster payments: Incoming funds are credited instantly, eliminating delays associated with traditional bank transfers.

    • Local currency convenience: Receiving payments directly in Kenya Shillings (KES) removes the need for currency conversion and protects businesses from exchange rate fluctuations.

    • Unique accounts for better tracking: Each virtual account is tied to your business, making reconciliation and reporting simpler and more accurate.

    • Improved cash flow management: Immediate access to funds allows businesses to pay suppliers, reinvest, or manage operations without unnecessary delays.

    • Reduced operational errors: Automation reduces manual entry and the risk of mistakes in payment handling.

    • Professionalised payments: Providing a dedicated virtual account for receiving payments enhances credibility with customers and partners. It gives the impression of an organised and trustworthy business.

    Introducing KES virtual accounts on Klasha

    To help Kenyan merchants fully leverage the benefits of virtual accounts, Klasha has launched KES Virtual Accounts (VA), a feature that allows businesses to generate and own static, Kenya Shilling-denominated virtual bank accounts directly from the Klasha Dashboard or API.

    The KES virtual account feature allows each registered merchant to create a static virtual account in KES, receive top-ups via bank transfers to their KES account, view real-time balance reports directly from their dashboard, and leverage webhook notifications for automated crediting.

    Why you should use Klasha’s KES virtual accounts

    • Create a static account unique to your business: With KES virtual accounts, you’ll get an account in your business to increase credibility and trustworthiness with your customers.

    • Receive payments in KES instantly: Funds are credited immediately to your wallet, so you no longer have to wait for days for bank transfers to clear.

    • Track transactions in real-time: The Klasha Dashboard provides live reports on all incoming payments, helping businesses maintain accurate records and gain better insights into cash flow.

    • Automate notifications: Integrated webhook notifications and real-time alerts ensure that businesses never miss a payment and can automate parts of their accounting or reconciliation processes.

    • Reduce operational overhead: Automating payment processing means less time spent on manual data entry, fewer mistakes, and more resources available to focus on business growth.

    How to create a KES virtual account on Klasha

    Setting up KES virtual accounts takes just a few minutes. All you need to do is:

    • Navigate to the wallet section on your Klasha dashboard

    • Click “Create New Wallet” and select KES as the wallet currency

    • Go to Wallets → KES Wallet → Top-up → Bank Transfer.

    • For first-time users, the system will prompt you to generate your virtual account details.

    Once generated, your assigned KES virtual account will be displayed. You can now transfer funds directly to this account.

    For questions, WhatsApp us at +14159933858 or email us at vip-support@klasha.com.