The verdict in three sentences
In Kampala in 2026, Airtel Money and MTN MoMo dominate with a free merchant code and Flutterwave integration for the web. Settlement is in UGX to a wallet or bank account, and the free merchant code makes in-store collection cheap. To maximize conversion, accept both operators since coverage shifts by neighborhood.
Currency, fees and network coverage
In Uganda, the free merchant code and low percentage fees make collection accessible, while web integration goes through Flutterwave.
| Item | 2026 detail (order of magnitude) |
|---|---|
| Merchant fee | ~1 to 1.5% |
| Merchant code | free |
| Operators | Airtel, MTN |
| Subscription | 0 UGX |
| KYC required | ID + business registration |
| Activation time | 24 to 72 h |
| Web integration | Flutterwave |
Accepting both wallets maximizes conversion: refusing one means losing customers who only hold that operator.
Kampala versus Kinshasa
In Kinshasa, the market is split three ways and settlement in USD is a major advantage against local-currency volatility.
| Criterion | Kampala (Uganda) | Kinshasa (DRC) |
|---|---|---|
| Key operators | Airtel, MTN | MTN, Orange, Airtel |
| Merchant fee | ~1 to 1.5% | 1 to 2% |
| Merchant code | free | by operator |
| Settlement currency | UGX | CDF or USD |
| Web integration | Flutterwave | aggregators |
| Settlement | to wallet / bank | to wallet |
In Kampala the free merchant code and Flutterwave web integration simplify e-commerce; in Kinshasa the ability to settle in USD is the real edge.
Mini case study
Sarah runs an electronics store in Kampala. She collects across 40 average sales of 700,000 UGX per month via Airtel and MTN.
- Average fee at 1.25%: on 28,000,000 UGX = 350,000 UGX/month.
- Cost per 700,000 UGX sale: 8,750 UGX.
- Merchant code: free.
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By refusing MTN and accepting only Airtel, she estimates losing 15% of neighborhood customers, roughly 4,200,000 UGX/month in missed sales. Accepting both wallets earns far more than the fee.
FAQ
What are merchant fees in Kampala in 2026?
Roughly 1 to 1.5% by operator and volume, with a free merchant code and no subscription. On 20,000,000 UGX collected at 1.25%, that is 250,000 UGX.
Is the merchant code really free?
Yes, both Airtel Money and MTN MoMo offer a free merchant code for in-store collection. You only pay the per-transaction percentage.
Should I accept both operators?
Yes, coverage varies by neighborhood, so refusing one wallet loses a share of customers, often 10 to 20%. Dual acceptance maximizes conversion.
How do I sell online in Kampala?
Through Flutterwave, which aggregates Airtel Money and MTN MoMo for the web with confirmation callbacks. Kolonell wires these aggregators into the stores it builds.
How much does the Kolonell referral program pay?
You earn 15% on a showcase site, 12% on an e-commerce store, 10% on a marketplace, 8% on an institutional project, plus 5% recurring on maintenance. A well-equipped electronics client can mean a five-figure FCFA commission.
Let's talk about your project. We integrate Airtel, MTN and Flutterwave on your Kampala store, tested end to end. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
