If you often move money from PayPal to M-Pesa, there’s a heads-up you need to catch. Thunes, the Singapore-headquartered B2B fintech service that has been facilitating PayPal to M-Pesa withdrawals in Kenya, is shutting down the service on August 16, 2025.
For years, Thunes has been the middleman between your PayPal USD balance and M-Pesa KES balance. That’s coming to an end soon, and honestly, it’s not bad news for online jobs in Kenya. In fact, it might make your life easier. You can now withdraw your money from PayPal via the M-Pesa app: fewer steps, fewer delays, and less headache.
This guide will walk you through the new setup: how to link your accounts, withdraw funds, top up your PayPal, and fix anything that gets in the way.
What’s Changing?
Thunes made it possible to send and receive money between PayPal and M-Pesa. But starting August 16, 2025, that’s going away. While there hasn’t been an official statement explaining why, it looks like Safaricom and PayPal have cooked up a new setup with account linking inside the M-Pesa app itself.
No more jumping through hoops. Now, instead of going through a separate website, everything happens in one place. PayPal to M-Pesa withdrawals hit your account almost immediately. Besides, topping up your PayPal balance from your M-Pesa balance is more convenient too, meaning you can pay for international services, subscriptions, and even online courses for freelancing in Kenya without any hassle.
Plus, it’s a big win for Kenyans struggling to pay for subscriptions with the Safaricom virtual Visa card. That thing had its moments, but it’s now more frustration than convenience.
How to Link PayPal to M-Pesa Directly in the M-Pesa App
Safaricom has added PayPal as part of the M-Pesa app’s built-in services, and it’s all pretty smooth once you’re set up.
Here’s how to do it:
- Open the M-Pesa App. Check that you have the latest version. If not, head to the Play Store or App Store to update it.
- Scroll on the home screen until you see the Global Payments section (don’t click Financial Services)
- Tap PayPal and enter your M-Pesa PIN to continue
- You’ll be asked to log in to your PayPal account using your email address and password to approve the connection. If you don’t have one yet, get started at paypal.com.
- Review the terms and conditions, then scroll down and tap Agree
- Once authenticated, your accounts will be linked.
- You should receive a confirmation text from Safaricom, something along the lines of “Dear customer, you have successfully linked your M-Pesa account [your number] to your PayPal account [your PayPal address].”
From there, the home screen in your M-Pesa app shows your PayPal balance in USD and the equivalent in Kenyan shillings. You can top up, withdraw, check recent activity, or unlink your account if needed. There’s even a support button if anything feels off.
PayPal M-Pesa Login: What You Need to Know
There’s no special PayPal M-Pesa login screen or weird setup to worry about. You’ll still log in to PayPal and the M-Pesa app using your usual credentials. The linking process just connects them behind the scenes. Your PayPal account stays tied to your email and password, and your M-Pesa account stays tied to your Safaricom number.
PS: Even if you had connected your PayPal account with M-PESA via Thunes, you’ll need to link it again, this time directly through the M-Pesa app. It’s a one-time setup, and once you’re done, you’re good to go.
Unable to Link PayPal to M-Pesa?
If you are having trouble linking your PayPal and M-Pesa accounts, you’re not alone. A lot of users run into this during the first setup.
The biggest issue is mismatched account information. Double-check that the name on your PayPal account matches your M-Pesa name exactly; no abbreviations, initials, or misspellings.
Also, make sure your PayPal phone number is verified. If it’s not, the M-Pesa app won’t be able to confirm your identity
One more thing: make sure the M-Pesa number is the same one linked to your PayPal account. Even a single wrong digit can compromise the connection.
New Users: How to Sign Up for PayPal and M-Pesa
If you’re just getting started, here’s a quick walkthrough:
- To register for M-Pesa, visit your local Safaricom center with your national ID. Once your number is active, download the M-Pesa app from the Play Store or App Store to access features like PayPal linking.
- To sign up for PayPal, head over to paypal.com, create an account, verify your email, and add and verify your M-Pesa number
How to Withdraw from PayPal to M-Pesa In Kenya
PayPal withdrawal to M-Pesa in Kenya couldn’t be more straightforward. Start by tapping the Withdraw to M-Pesa option on the PayPal screen inside your M-Pesa app.
You’ll be asked to enter the amount in USD. After that, tap Continue to get to a confirmation screen. This will show you how much you’ll receive in Kenyan shillings and the current exchange rate.
Tap Withdraw, enter your M-Pesa PIN, and you’re done. The money should hit your M-Pesa account right away. Safaricom and M-Pesa will text you the usual confirmation, while PayPal takes a bit longer to email you.
How long do PayPal to M-Pesa withdrawals take?
Thunes PayPal to M-Pesa withdrawal could take two hours or drag on for days after the transaction confirmation. The wait usually depended on how long PayPal took to review the transfer.
And now? Withdrawals are instant unless PayPal is holding your funds for some reason. No more waiting around and refreshing your balance like you’re waiting for concert tickets to drop.
What charges apply to PayPal withdrawal to M-Pesa in Kenya?
Presently, there’s no official communication on whether the transaction-band-based charges tied to Thunes PayPal to M-Pesa withdrawals still apply with the new system. Even so, you can figure out the cost by looking at the exchange rate shown during your transaction.
How, you wonder? Right now, for example, the app shows 1 USD = 125.13 KES. Meanwhile, the open market rate is around 129.25 KES. That means I’m effectively paying Ksh 4.12 for every dollar I withdraw.
Let’s say I want to withdraw $120. Based on the forex rate, I might expect Ksh 15,510.50. That’s a difference of Ksh 494.40, which works out to be the total cost of the transaction. That covers what both M-Pesa and PayPal take out in the process.
Is there a limit to the funds you can withdraw from PayPal to M-Pesa?
Yes. The usual M-Pesa transaction limits apply. That means you can withdraw up to Ksh 150,000 per transaction and a total of Ksh 300,000 in a single day. So if you’ve got more than that coming in, you’ll need to space it out over a few transfers.
How to Top Up Your PayPal Account
To load your PayPal account, open your M-Pesa app and head to the Global Payments section. Tap PayPal, then choose Top Up Account.
Enter the amount you’d like to top up in Kenyan shillings. You’ll get a summary showing the amount in both Ksh and USD, plus the exchange rate you’re working with.
Tap Top Up, enter your M-Pesa PIN, and the funds should go through in a few seconds. You’ll get confirmation texts from Safaricom and M-Pesa, and your PayPal USD balance will update in both the app and your PayPal account.
Final Thoughts
This is the end of the Mpesa-Thunes chapter, but to be fair, a pretty solid glow-up. Thunes got us through for years, but the new PayPal-to-M-Pesa setup is faster, cleaner, and is right inside the app you already use daily. No more jumping between websites or dealing with third-party delays.
If you haven’t switched yet, ensure you do it before August 16, 2025. The new system is already live, works well, and is way easier to manage. The future of PayPal-Mpesa withdrawals in Kenya is already here, and it’s right in your pocket.
But let’s say PayPal has been nothing but frustrating for you (account limitations and funds holding happen), you’re not locked out of receiving or making international payments. Options like Payoneer and Wise are a thing.
Ezekiel Maina is the brains behind ContentGenics, where he pairs creativity and strategy to craft B2B and B2C content that real people love to read. He has written for brands like House Digest, iFoundries, Harmony Home Medical, Postaga, and BeamJobs, and covered topics like home improvement, real estate, freelancing, digital marketing, career growth, food & travel, automotive, durable medical equipment (DME), and Cannabis. By day, he’s crafting content, catching up with clients from his home office, lost in a good book, or occasionally chasing nature and greenery in another county. By late evening, he’s typically deep in a documentary rabbit hole on Netflix or YouTube.
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