Kenya Introduces New Courier Hailing Licence for Uber, Bolt, Glovo and Little

Kenya has created a new regulatory category for app-based delivery platforms, requiring companies such as Uber, Bolt, Glovo and Little to obtain a dedicated courier hailing licence as the government moves to bring digital logistics under a framework tailored to the country’s fast-growing delivery economy.

The new licence, introduced by the Communications Authority of Kenya (CA), separates digital delivery platforms from traditional courier operators for the first time. It also raises licensing costs for companies that use mobile applications to connect customers with riders and drivers for parcel, grocery and food deliveries.

The move marks an important change in how Kenya regulates the courier industry. Rather than treating app-based platforms as conventional courier firms, the regulator has recognised them as a distinct part of the postal and logistics market, reflecting the expansion of e-commerce and the growing role digital platforms play in moving goods across the country.

Communications Authority Creates a Separate Licence for Digital Delivery Platforms

The CA has established a 10-year Courier Hailing Service Provider licence for companies offering courier services through digital platforms, whether they operate their own fleets or contract motorcycles, vans or trucks from independent transport operators.

Under the new framework, companies will pay a licence application fee of Sh5,000, an initial licence fee of Sh100,000 and an annual operating fee of Sh100,000 or 0.4 percent of annual gross turnover, whichever is higher. They will also contribute a universal service levy equivalent to 0.5 percent of annual gross turnover.

The regulator says the new licence responds to changes in technology and market structure that have reshaped Kenya’s postal and courier sector. The framework takes effect on July 29 following a public consultation on the review of the country’s postal and courier licensing regime.

Until now, app-based delivery platforms operated under the National Courier Operator licence, a category also used by conventional courier companies and transport operators. That licence attracts an initial fee of Sh30,000 and an annual operating fee of Sh30,000 or 0.4 percent of annual gross turnover, whichever is higher.

Companies currently operating under that licence will migrate automatically to the new category and will be required to pay the additional licence fees.

The Regulation Reflects How Delivery Platforms Have Changed

The new licence acknowledges how digital delivery businesses have evolved beyond their original services.

Ride-hailing companies now generate business from multiple forms of last-mile logistics. Alongside passenger transport, they deliver restaurant meals, groceries, parcels, pharmacy orders and retail purchases through the same technology platforms that match riders with customers.

Glovo has expanded merchant partnerships across Kenya while Bolt Food has entered supermarket delivery through Quickmart, adding thousands of grocery products to its platform. Those investments illustrate how delivery applications have become part of the country’s retail distribution infrastructure rather than simply transport services.

The distinction matters because the companies coordinate large digital marketplaces that connect consumers, merchants and independent riders. Their role extends beyond moving parcels from one location to another.

E-Commerce Has Expanded the Courier Market

The regulatory change also reflects broader changes across Kenya’s digital economy.

Demand for home delivery has grown as more retailers invest in online ordering and businesses seek faster distribution channels. Supermarkets, restaurants, pharmacies and small businesses now rely on digital platforms to reach customers beyond physical stores.

The CA’s sector statistics have also documented the continued importance of courier and parcel services as consumer behaviour moves toward online commerce and last-mile fulfilment, even as traditional postal services face different market conditions.

That evolution has blurred the distinction between courier companies, logistics providers and technology platforms. A customer ordering groceries through an app, for example, interacts with a software platform, a retail partner and an independent delivery rider within a single transaction.

The new licensing framework brings those businesses under a category designed specifically for that operating model.

More Than a Licence Fee Increase

Although the higher licence fees have attracted attention, the policy represents a broader regulatory change than a simple revenue measure.

By establishing a dedicated courier hailing licence, the government has created a formal regulatory category for digital logistics platforms. That provides a clearer basis for future oversight as app-based delivery continues to expand.

The new framework also recognises that platform operators differ from conventional courier companies. Their business depends on software systems that manage orders, allocate riders, process digital payments and coordinate deliveries in real time across extensive merchant and customer networks.

Creating a separate licence allows regulation to evolve alongside that business model without relying on rules originally designed for traditional courier operators.

What the New Rules Mean for the Industry

The immediate financial impact will be modest for large platforms, particularly those already paying turnover-based operating fees. The more significant outcome is the formal recognition of courier hailing as a distinct segment of Kenya’s communications and logistics market.

That distinction is likely to influence future policy discussions on platform accountability, consumer protection, data reporting and service standards as digital delivery becomes a larger part of everyday commerce.

For consumers, daily operations are not expected to change immediately. Customers will continue ordering food, groceries and parcels through the same applications.

For the industry, however, the new licence establishes a regulatory framework that reflects how digital platforms have reshaped Kenya’s courier business, placing app-based logistics alongside other recognised categories within the country’s postal and courier sector.

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