Tourism industry stakeholders in Kenya have strongly opposed the 8.5% gateway fee introduced by the Kenya Wildlife Service (KWS), describing it as exorbitant and lacking transparency.
The stakeholders faulted the government decision to introduce the fee during a media briefing organized by the Kenya Tourism Federation (KTF) earlier at the Stanley Hotel, Nairobi.
The event brought together major tourism associations, including the Kenya Association of Tour Operators (KATO), the Kenya Association of Travel Agents (KATA), and the Kenya Association of Air Operators (KAAO).
The groups collectively rejected the 8.5% payment platform charge, saying it was imposed without prior consultation or accountability. According to stakeholders, the fee—attached to the KWS electronic payment gateway for park entry and other services—will significantly increase operational costs for tour operators and travel agents, potentially driving up park access fees for tourists.
According to tourismupdate.com, Tourism industry stakeholders had earlier held a peaceful demonstration in Nairobi on November 3 to protest the newly introduced Kenya Wildlife Service (KWS) payment system and associated gateway fees, which they say are stifling business and threatening the country’s competitiveness as a safari destination.
The protest, which culminated in the delivery of a petition to the KWS Director General, gathered tour operators, travel agents and hoteliers under a shared call for fairness, consultation and policy review.
“Our request is simple,” said Kennedy Kaunda, Group CEO of East Africa Tour Guides and Drivers Association. “Abolish the 8.5% gateway fee, use a realistic exchange rate, involve stakeholders genuinely, give reasonable notice and obey court rules.”
Participants emphasised that the demonstration was not an act of rebellion but a plea for dialogue. “This peaceful walk is more than a protest,” said Wanjiku Gacheru, Founder of Village Girl Adventures. “It’s a mission to safeguard Kenya’s tourism future and keep our wildlife parks open and accessible to everyone.”
Lack of engagement
At the heart of the dispute is the KWS rollout of a new digital park entry payment system. The abrupt implementation, allegedly without stakeholder consultation, has drawn sharp criticism across the tourism value chain.
Operators argue that, while modernisation and transparency are necessary, the timing and execution of the new model have caused financial disruption and uncertainty. “As tour operators, we support conservation and digital efficiency,” said Gacheru. “But this policy was introduced overnight and many of us already have confirmed bookings with fixed prices. We can’t adjust those so we end up absorbing the extra costs, which leads to losses.”
Unexpected costs
The Kenya Tourism Federation (KTF), which represents mainstream private-sector associations in the tourism industry, issued a statement expressing “grave concern” about the rollout.
“The new KWS park payment system has disrupted normal business operations and burdened operators, agents and visitors with unplanned costs,” said Fred Odek, KTF Chairman. “The additional fees and limited payment options have translated into unbudgeted losses and threaten existing contracts with international partners.”
Under the new structure, only M-Pesa and Visa payments are accepted – posing logistical challenges for large group bookings and corporate tours that typically rely on bank transfers. The 8.5% card processing fee, stakeholders claim, far exceeds market norms where rates for similar government transactions average between 1.5 and 3%.
Adding to frustrations, KWS has set the exchange rate at KSh135 per US dollar – above the Central Bank of Kenya’s official rate of around KSh129.50. This discrepancy inflates park entry fees for local and international visitors.
“We have no issue with the new system,” said Mohamed Hersi, Group Director of Operations at Pollman’s Tours and Safaris.
“Our issue is with the gateway fees. Even after a reduction from 8.5 to 5%, it’s still unreasonable – and there’s no way to generate a receipt for that fee. How are we supposed to account for it? For large transaction volumes, gateway fees should never exceed 2.5%. We just want to be able to do business fairly.”
Hersi added that such additional charges undermine Kenya’s competitiveness compared to regional destinations where pricing remains stable. “This isn’t how we grow tourism numbers. If we must use card payments, then give us options. Let us decide whether to pay by transfer or card.”
Daniel Mbugua, Chairperson of the Tour Operators Society of Kenya, echoed similar concerns. “We recognise the need for digital transformation,” he said. “But the abrupt removal of bank transfers has made it extremely difficult to process large transactions for inbound group tours and corporate clients. The rollout has created an uneven playing field just when the industry is recovering from global economic shocks.”
In response to the criticism, KWS issued a clarification saying the new system aims to streamline payments, enhance transparency and curb revenue leakages. Future updates will include multiple payment options such as e-wallets and bank transfers, added KWS.
