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Lipa Pole Pole: Kenya’s Pay-Later Revolution is Here—But at What Cost?

by Peter Ongera
August 3, 2025
Reading Time: 4 mins read
A Kenyan Using Smartphone. Photo/File. Lipa Pole Pole

A Kenyan using smartphone. PHOTO/FILE.

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A quiet revolution is sweeping across Kenya’s economy, changing the way people buy, borrow, and budget. Known as Lipa Pole Pole—Swahili for “pay slowly”—this buy-now-pay-later (BNPL) model is rapidly gaining popularity, transforming access to goods and services.

From smartphones to sofas, fridges to health insurance, Kenyans are embracing the flexibility of installment payments. And as the country grapples with rising living costs, Lipa Pole Pole is offering a lifeline to many.

“I needed a phone for my online hustle, but I couldn’t afford Ksh 18,000 at once,” says Kevin Otieno, a 27-year-old boda boda operator in Kisumu. “Safaricom gave me a plan to pay Ksh 60 a day. Now I can do deliveries and pay without stress.”

From Gadgets to Healthcare

The Lipa Pole Pole model has become embedded in sectors ranging from tech and retail to health and banking.

Smartphones: Telecom giants like Safaricom and Airtel are offering smartphones through daily and weekly installment plans.

Home Appliances: Stores and e-commerce platforms such as Patabay and KopoSoko allow customers to walk away with TVs, cookers, or washing machines and pay later.

Furniture: Installment plans are helping families furnish their homes affordably, especially in urban centers and fast-growing towns.

Healthcare: The Social Health Authority (SHA)—which replaced NHIF—is introducing flexible premium payment options. Kenyans can now remit insurance premiums weekly or monthly, aligning health access with income realities.

“Flexible contributions under SHA could increase coverage for millions in the informal sector,” notes Dr. Wanjiru Kamau, a health financing specialist. “It’s a step toward equity in healthcare.”

Banks like Absa Kenya are also stepping in, offering structured payment plans of 3, 6, or 12 months for high-ticket items through their “Buy Now Lipa Pole Pole” service.

Why It’s Catching On Lipa Pole Pole

Lipa Pole Pole is resonating with Kenyans for several reasons:

Affordability: Consumers can access essential goods without waiting months to save.

Financial flexibility: Installment plans reduce cash flow pressure, especially in a tough economic climate.

Economic stimulation: By boosting demand, Lipa Pole Pole has helped retail businesses grow and created opportunities for low-income households to participate in the formal economy.

“We’ve seen a 40% sales increase since introducing Lipa Pole Pole,” says Grace Wambui, owner of a mid-sized electronics shop in Nairobi’s Eastleigh. “Customers feel more empowered when they don’t have to choose between feeding their families and buying a fridge.”


Also Read: Ruto Rolls Out Lipa SHA Pole Pole Plan for Informal Sector


But Buyer Beware

Yet, the model isn’t without risks.

Some providers charge steep interest or hidden fees, especially when payments are missed.

And with more players entering the space, regulatory oversight remains patchy.

“The convenience is addictive. You want a new couch, a phone, a microwave—and suddenly you’re juggling five payments,” admits Nancy Chebet, a mother of two from Eldoret. “If you’re not careful, you end up living in debt.”

Experts warn that consumer education is crucial.

“Lipa Pole Pole can unlock access, but without safeguards, it becomes a debt trap,” warns David Muriuki, a financial inclusion advisor. “The public needs to be informed, and providers must disclose all terms clearly.”


Also Read: Headache for Kenyans Over SHA Lipa Polepole Days After Ruto’s Announcement


A Financial Turning Point

As more Kenyans embrace installment-based purchasing, Lipa Pole Pole is emerging as a defining feature of our modern economy. It reflects the urgent need for inclusive credit models, especially for informal workers and youth navigating a challenging job market.

But for this revolution to be sustainable, policymakers must step up—with clearer consumer protections, responsible lending rules, and digital finance literacy programs.

If done right, Lipa Pole Pole could become more than just a convenience—it could be a stepping stone to long-term financial empowerment.

“It’s about dignity,” says Kevin, the boda boda rider. “You don’t have to beg or borrow. You pay pole pole and build your life.”

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Safaricom Launches Standing Order For Recurring M-Pesa Payments On Mobile Devices; Benefits &Amp; How To Use. Lipa Pole Pole
Customers getting service at an MPESA shop. Photo/Kachwanya.
Tags: MKOPASafaricomSamsungWatu CreditWatu Simu

Peter Ongera

Peter Ongera is a guest contributor for The Kenya Times, and an award-winning entrepreneur, journalist, experienced business trainer, coach, and mentor. You can reach him at [email protected].

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