How To Withdraw Money From PayPal to M-Pesa in Kenya

Aug 17, 2023
Affiliate disclosure

Digital finance services have made international money transfers fast, easy, and convenient. PayPal is one of the leading digital finance platforms in the world, and now its integration with M-Pesa has made it easier for M-Pesa users in Kenya to withdraw PayPal money directly to their M-Pesa accounts.

The money transfer service from PayPal to M-Pesa is provided by TransferTo, in partnership with PayPal and Safaricom.

In order to qualify for the transfer, you must have a working M-Pesa and PayPal account. You must also link both accounts to transfer your money from one account to the other.

Using PayPal to send money to Kenya can be expensive, use Monito's real-time comparison engine to find cheaper alternatives.

Find Cheaper PayPal Alternatives

Linking Your PayPal Account to M-Pesa 

This process allows you to withdraw your PayPal funds to your M-Pesa. Follow the following simple steps:

  • Visit the official PayPal-M-Pesa partnership website.
  • Click on “Get Started” to start the registration process.
  • Log into your PayPal account by entering your PayPal credentials
  • After logging in, enter your M-Pesa account mobile phone number
  • You will then receive an SMS with the verification code, which you will enter to confirm your phone number
  • The PayPal-M-Pesa linkage is now complete

Note: The name on your PayPal account and the name on your M-Pesa account must correspond. Otherwise, you won’t be able to link your PayPal to M-Pesa.

How to Withdraw Money From PayPal to M-Pesa

After linking your PayPal and M-Pesa, you can start the withdrawal process. Follow these simple steps:

  1. Log into the PayPal-Mpesa website
  2. On the dashboard, click Get Started” and then “Withdraw from PayPal.” 
  3. Your available PayPal balance will be displayed. You can only withdraw money up to your available balance amount.
  4. If the balance in your PayPal account is in a different currency, you must convert the money into USD before withdrawing. You can make the conversion on the PayPal website directly.
  5. Enter the amount you want to withdraw from PayPal to your M-Pesa account. Make sure you observe the maximum and minimum withdrawal limits.
  6. You’ll be redirected to a page to confirm your transaction details. This page displays the amount you’ll receive in Kenya shillings, the conversion rate, and the estimated processing time.
  7. Confirm your details to complete the process.

After confirming the transaction, you’ll receive your money within minutes to three days, depending on the amount withdrawn. Any amount above $700 will take three days to arrive at your M-Pesa.

PayPal charges a 3% conversion fee for the amount to be withdrawn. M-Pesa accounts can only hold up to Ksh. 300,000, so you must keep this in mind when making the withdrawal.

How to Top Up Your PayPal Account Using Your M-Pesa Balance

Sometimes you need to make payments using PayPal, so you may want to top up your account from your M-Pesa wallet. Here are the steps to take to top up your PayPal account from M-Pesa:

  1. Visit PayPal-Mpesa and log in using your credentials.
  2. Click the “Top Up” button on the page.
  3. Enter your desired top-up amount in USD, then click “Calculate” to get the amount converted to KES. This shows you the amount you need to transfer from your M-Pesa. The page also displays the exchange rate used for conversion.
  4. Go to the M-Pesa menu and select Lipa na M-Pesa, followed by the Pay Bill option. Enter 800088 as the Business Number.
  5. Enter the email address connected to your PayPal as the Account Number.
  6. Enter your M-Pesa PIN to confirm the transaction, and then hit send.
  7. Your PayPal account will reflect the amount within a few minutes; sometimes, it may take up to 4 hours.

Cheaper PayPal Alternatives

While PayPal is an easy and convenient way to make payments and international money transfers, it’s an expensive option for currency exchange. There are cheaper and faster digital money transfer platforms.

Here are some cheaper PayPal alternatives to consider:


This US-based digital money transfer platform facilitates transfers to over 170 countries, including Kenya. It’s also one of the fastest and most affordable digital remittance services.

Another advantage of using Remitly is it supports mobile money transfers, including M-Pesa. As such, you can use it to send money directly to the recipient’s M-Pesa wallet.

To use Remitly for money transfers, all you have to do is sign up and create your account. You’ll then be asked to provide personal details for identity verification, after which you can start transacting.

Remitly is mostly known for competitive exchange rates and low fees, making it an ideal PayPal alternative.


Another popular option for digital money transfer is WorldRemit, a UK-based platform that lets users send money to over 130 destinations worldwide, including Kenya.

You can use WorldRemit to send money via bank transfer, cash pickup, or mobile money. You can pay for the transfer using prepaid transfers, credit, or debit cards. Direct bank transfers are also allowed.

WorldRemit is a fast, reliable platform that you can use to make money transfers. It supports mobile money payments, including M-Pesa, which is highly convenient for Kenyans who want to send money directly to M-Pesa wallets.


Wise, formerly Transferwise, is an international foreign exchange platform you can use to make international money transfers to more than 175 countries worldwide. It’s also one of the most affordable PayPal alternatives.

Like most digital remittance services, getting started with Wise is easy. Simply register to create your account, and provide details for identity verification. Once the account is set up, you can start sending money immediately.

Wise has very competitive pricing, so it’s ideal for making small to medium-sized money transfers. Wise works with local bank accounts in different countries, so they can avoid the high fees that banks and other financial services typically charge.


While Paysend is a relatively new platform, it’s a fast, reliable, and affordable way to send money. The platform currently supports money transfers to more than 170 countries.

You can use the Paysend mobile app or their official website to transfer money. Since mobile money is one of Paysend’s money transfer options, sending money to your recipient’s M-Pesa wallet is possible.

With relatively low fees and competitive exchange rates, Paysend is an ideal PayPal alternative. Paysend does not charge transfer fees for money sent to a bank account, making it one of the most affordable ways to transfer international money.

While Paysend doesn't charge a transaction fee, it makes money via a margin on the exchange rate. This means you're still on the hook for some fees.

FAQs About PayPal to M-Pesa Withdrawal

Why Trust Monito?

You’re probably all too familiar with the often outrageous cost of sending money abroad. After facing this frustration themselves back in 2013, co-founders François, Laurent, and Pascal launched a real-time comparison engine to compare the best money transfer services across the globe. Today, Monito’s award-winning comparisons, reviews, and guides are trusted by around 8 million people each year and our recommendations are backed by millions of pricing data points and dozens of expert tests — all allowing you to make the savviest decisions with confidence.

Learn More About Monito
  • Monito is trusted by 15+ million users across the globe.

  • Monito's experts spend hours researching and testing services so that you don't have to.

  • Our recommendations are always unbiased and independent.

Global Impact Finance Ltd
Rue du Pont 22
1003 Lausanne

Affiliate Disclosure
Instead of banner ads and paywalls, Monito makes money through affiliate links to the various payment service providers featured on our website. While we work hard to scout the market for the best deals, we're unable to consider every possible product available to you. Our extensive range of trusted affiliate partners enables us to make detailed, unbiased, and solution-driven recommendations for all types of consumer questions and problems. This allows us to match our users with the right providers to suit their needs and, in doing so, match our providers with new customers, creating a win-win for everybody involved. However, while some links on Monito may indeed earn us a commission, this fact never impacts the independence and integrity of our opinions, recommendations, and evaluations.