How to Withdraw Money from Paypal to MPESA - New Method

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If you are wondering how you can withdraw money from Paypal to Mpesa, this post is for you. I did a post a few months ago on an easy step by step process powered by Thunes. 

However, with recent updates, M-PESA-Thunes partnership was terminated on August 16, 2025 and the withdrawal process changed. Withdrawing from Mpesa to Paypal (Old method)



In this post I will explain what is new and how you can easily do this. Unlike before, you will need Mpesa App installed in your Phone. Please note that you need Mpesa App and not the older Safaricom App. Below are simple steps how to do it.

Mpesa App - Use This one


Safaricom App - Not This one


Steps How to Withdraw Money from PayPal to M-PESA  (New Method)

  1. Step 1: Open the M-pesa App
  2. Step 2: Go to Global Payments
  3. Step 3: Log In to Your PayPal Account
  4. Step 4: Choose “Withdraw to M-PESA”
  5. Step 5: Enter Withdrawal Amount
  6. Step 6: Confirm and Authorize
  7. Step 7: Receive Your Funds Instantly

Step 1: Open the M-PESA App - Launch your M-PESA Super App on your phone. Make sure you’ve already linked your PayPal account to M-PESA. If not, check out the linking tutorial first.



Step 2: Go to Global Payments. Scroll down on the home screen and select “Global Payments.” Then, tap on “PayPal.”


Step 3: Log In to Your PayPal Account. You’ll be prompted to log in to your PayPal account to authorize access. Once logged in successfully, the app will take you to your PayPal balance page.



Step 4: Choose “Withdraw to M-PESA”. Here, you’ll see your available PayPal balance and the current exchange rate (which may fluctuate slightly). Tap “Withdraw to M-PESA.”



Step 5: Enter Withdrawal Amount. Enter the amount in USD that you want to withdraw. For example, withdrawing $4 might convert to around KES 500, depending on the current rate. Tap “Continue.”

Step 6: Confirm and Authorize.Review your transaction details—amount, exchange rate, and M-PESA number.Once everything looks correct, tap “Withdraw” and authorize the transaction.

Step 7: Receive Your Funds Instantly.The withdrawal is almost instantaneous! You’ll receive an SMS confirmation from M-PESA showing that the funds have arrived.

What you should know about Paypal Mpesa

  • Daily Transaction Limit: You can only transact up to KES 500,000 per day.

  • Account Limit: Your mpesa wallet can hold a maximum of KES 500,000 at any given time.

  • Exchange Rate: The conversion rate may vary depending on the time or system updates.


FAQ

What is the new way to withdraw money from PayPal to M-PESA?

The new method uses the M-Pesa Super App instead of the old PayPal–M-PESA web portal. You can now withdraw funds directly and instantly through the app.

Do I need to link my PayPal account again?

Yes. You must link your PayPal account to the M-Pesa app first before making any withdrawals.