- Intra-African Payment Systems is expected to simplify trade among member states on the platform.
- In West Africa Nigeria, Ghana, Guinea, Gambia, Liberia, and Sierra Leone have joined the Intra-African Payment Systems.
- 3 Countries in East Africa, Kenya, Rwanda, and Djibouti are among the early members of Intra-African Payment Systems.
The push for a single trading platform for African countries is gathering pace after tnike air max 90 futura jordan max aura 4 custom maple leafs jersey dallas cowboys slippers mens blundstone uomo yeezy boost 350 v2 hyperspace custom stitched nfl jersey jordan proto max 720 custom kings jersey dallas cowboys slippers mens penn state jersey deuce vaughn jersey air jordan 1 low flyease luvme human hair wigs sac eastpak he Pan African Payment and Settlement System (PAPSS) enrolled the Central Bank of Tunisia (Banque Centrale de Tunisie) as its thirteenth Central Bank member.
The move is seen as a significant stride towards advancing seamless cross-border payment services across the African continent, by uniting central banks from various African nations.
PAPSS, a collaborative effort led by the African Export-Import Bank (Afreximbank), the African Union, and the AfCFTA Secretariat, aims to revolutionize intra-African trade and payments by enabling real-time settlement in African currencies.
The unification of all African Central banks into a single platform, endeavors to mitigate the challenges faced by businesses and individuals in accessing efficient and cost-effective cross-border payment solutions.
Tunisia’s Central Bank Governor Marouane El Abassi said that the inclusion of Banque Centrale de Tunisie into the PAPSS network underscores the bank’s commitment to fostering economic growth and development, not only within Tunisia but also across the broader African region.
According to the governor, this strategic partnership is poised to deliver substantial benefits, including enhanced payment efficiency, reduced transaction costs, and increased opportunities for Tunisian businesses and citizens to engage in trade and transactions with other African countries.
“The addition of BCT to the PAPSS system highlights the nation’s dedication to regional integration in Africa economically and financially. BCT’s participation in PAPSS reflects its resolve to promote economic growth and development locally and across the continent. This partnership will streamline payments, lower transaction expenses, and expand trade opportunities for Tunisian businesses and citizens within Africa,” stated El Abassi.
Intra-African Payment Systems Trade Impact
With the integration of Tunisia’s Central Bank into PAPSS, the platform is further positioned to fulfill its mission of promoting financial integration and facilitating economic prosperity throughout Africa.
He further stated that this initiative supports the Government’s efforts, led by the Ministry of Commerce, to integrate Tunisia into the AfCFTA. In 2022, BCT also joined the inter-Arab payment and settlement System (BUNA), in continuation of its commitment to the country’s strategic priorities.
He emphasized the importance of opening new commercial opportunities with Africa and expanding Tunisia’s presence in this promising market. Ben Rejeb, Minister of Trade & Export Development, added that the importance of joining a platform capable of facilitating integration into the formal sector is boosting intra-African exports, and reducing transaction costs and processing times.
Dr. George Elombi, Executive Vice President of Afreximbank, expressed his pleasure at welcoming Banque Centrale de Tunisie into the PAPSS network as the first central bank in the North Africa region.
“As the Pan-African Payment and Settlement System (PAPSS) attracts more countries, we observe a growing confidence among Africans in their capacity to drive the continent’s development through their own initiatives. At Afreximbank, we are confident that PAPSS will transform the payment landscape in Africa, ultimately benefiting our people. We sincerely thank Banque Centrale de Tunisie for their trust and decision to join the PAPSS network, marking a significant step towards our shared goals,” said Elombi.
Mike Ogbalu III, CEO of PAPSS, expressed his excitement at welcoming Banque Centrale de Tunisie as their thirteenth member and the first Central Bank in North Africa.
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He highlighted that their inclusion underscored the growing recognition of PAPSS’s transformative role in simplifying cross-border payments on the continent. He further stated that as PAPSS expands its membership, they are encouraged by central banks’ commitment to facilitating trade and investment flows within Africa, bringing them closer to realizing their collective aspirations for an integrated African market.
Banque Centrale de Tunisie’s decision to join PAPSS under the commercial bank settlement model, introduced last year at the Afreximbank Annual Meetings in Accra, Ghana, is strategic. By adopting this model, BCT will preserve its foreign currency reserves and promote the use of the Tunisian Dinar for cross-border payments within Africa. This strategic shift is expected to enhance the value of its currency and significantly reduce reliance on foreign currencies.
With this development, Tunisian commercial banks can now commence their onboarding process onto the PAPSS system. The PAPSS team is fully prepared to assist and support Tunisian banks in completing this process. Launched two years ago, PAPSS has steadily expanded its footprint in Africa, now establishing itself in four regions.
This network includes 13 central banks, with 6 in the West African Monetary Zone (WAMZ) region (Nigeria, Ghana, Guinea, Gambia, Liberia, and Sierra Leone), 3 in East Africa (Kenya, Rwanda, and Djibouti), 3 in Southern Africa (Zimbabwe, Zambia, and Malawi), and 1 in North Africa (Tunisia). Additionally, it is anticipated that more central banks will join the platform throughout the current year.
