Browsing: PAPSS

Africa: A common currency dream verses a Central Bank Digital Currency future. www.theexchange.africa

A common Africa currency and CBDC’s unlikely future

Tech & Business
  • It is not easy to create a common currency since it needs the creation of a central monetary system for several nations
  • The AU and ECOWAS should reconsider their approach—a common physical currency—and move their attention to building a common digital currency, as the EU is doing
  • With the establishment of the Pan-African Payment and Settlement System (PAPSS), which allows for the simple conversion of numerous African currencies, some progress—or maybe too little—has been achieved
  • When turned into digital money, Africa’s weak currencies have little chance against stablecoins backed by the US dollar

It is not easy to create a common currency and it would need the creation of a central monetary system for several nations.

This is a regime that, given the diverse economic demands of countries, may be judged undesirable for some member states. Africa’s desire for economic and monetary integration dates back many years.

African Union

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Fintech is expected to bridge Africa’s financing gap. The sector offers immense opportunities for entrepreneurs who are in-touch with customer needs which are evolving. www.theexchange.africa

Bridging Africa’s finance gap big opportunity for ‘in-touch’ entrepreneurs

Investing

Hennessy-Barrett adds that tackling the finance gap is going to take a combined effort from across the financial industry.

He says there is a need for partnerships that can complement one another.

“We are actively signing up as many partners as we can across the supply chain to support micro and small businesses. By linking small store holders, distributors, vendors and investors, we can work together to construct the framework for inclusion and growth with the digital connective tissue to build high growth, an integrated economy in African markets. 4G Capital is in an incredibly exciting position as we develop and deploy new products and capabilities to scale to the vast and growing markets in Africa and other global emerging markets,” he notes.…

Moving goods in a warehouse. PAPSS provides Africa with greater capacity to conduct cross-border transactions and expand the scale of both active and latent opportunities for enhanced intra-African trade. www.theexchange.africa

Shift from the dollar with Pan-African Payment System launch

Industry and Trade

The pan-African payments infrastructure was commissioned after a successful pilot phase in the West African Monetary Zone (WAMZ) countries where live transactions were done instantly.

Afreximbank worked with the West Africa Monetary Institute (WAMI) to launch the system in the WAMZ.

Following this successful milestone, PAPSS is now engaged in advanced discussions with other national and regional institutions for its rapid expansion across the continent.…