Bank of Central African States (BEAC) Strengthens Cross-Border Payments by Joining Pan-African Payment and Settlement System (PAPSS)
The recent accession of the Bank of Central African States (BEAC) to the Pan-African Payment and Settlement System (PAPSS) represents a pivotal advancement in the enhancement of Africa’s cross-border payment infrastructure. This development not only signifies a leap towards financial integration in Central Africa but also aims to bolster intra-African trade.
Strategic Importance of BEAC’s Membership
As one of only two regional central banks on the continent, BEAC serves the six member nations of the Central African Economic and Monetary Community (CEMAC)—Cameroon, Central African Republic, Republic of Congo, Gabon, Equatorial Guinea, and Chad. The inclusion of BEAC in PAPSS provides a strategic entry point into Francophone Africa, thereby significantly broadening the network’s reach across the continent.
With BEAC’s participation, PAPSS now connects 28 African countries, integrating over 190 commercial banks and fintechs, supported by 16 payment switches. This expanded network allows PAPSS participants to transfer funds to more than 250 additional financial institutions, enhancing the overall efficiency of cross-border transactions.
Enhancing Connectivity and Market Access
The integration of BEAC into PAPSS significantly strengthens the system’s connectivity with the CEMAC region, which boasts a population exceeding 72 million. This region serves as a strategic gateway linking West, East, and Southern Africa. The ongoing pilot phase with the Central Bank of West African States (BCEAO), set to commence later this year, further underscores PAPSS’s commitment to deploying a payment infrastructure capable of connecting all African regions through a unified network.
H.E. Yvon Sana Bangui, Governor of BEAC and Chair of the Association of African Central Banks (AACB), emphasized the transformative potential of this initiative. He stated that BEAC’s membership in PAPSS is designed to facilitate faster, more affordable, and efficient cross-border payments among CEMAC countries and the broader African continent. He urged commercial banks and financial institutions within member states to seize this opportunity and prepare for active participation in the platform. According to Bangui, the success of African trade integration hinges not only on policy and infrastructure but also on the proactive engagement of the financial sector.
Implications for Trade and Economic Activity
Mr. Mike Ogbalu III, CEO of PAPSS, remarked on the significance of BEAC’s participation as a milestone in advancing Africa’s financial integration. He commended Governor Yvon Sana Bangui for his leadership and the entire BEAC team for their achievement. Ogbalu noted that this development opens new trade and payment corridors between Central Africa and the rest of the continent, enabling more efficient cross-border payments that will stimulate trade and economic activity.
PAPSS, developed by Afreximbank in collaboration with the African Union and the AfCFTA Secretariat, facilitates instant cross-border payments in local African currencies. This capability allows funds to traverse African markets within seconds, eliminating the need for third-party currencies or external intermediaries.
Opportunities for Financial Institutions and Businesses
For banks and fintechs, PAPSS presents opportunities to extend services beyond national borders. Businesses stand to benefit from faster transactions, reduced costs, and improved access to regional markets. Individuals will experience a more efficient and affordable means of sending and receiving money across Africa. Collectively, these advancements contribute to strengthening Africa’s financial sovereignty by ensuring that payments are processed and settled on the continent.
PAPSS is set to collaborate closely with BEAC through the end of 2026 to operationalize this membership. This partnership will involve integrating financial institutions across the CEMAC region into the system and facilitating the rollout of PAPSS services to businesses and individuals.
For further details, please contact:
Papa Samba Thiongane
Head of Marketing & Communications, PAPSS
Email: communications@papss.com
About PAPSS
The Pan-African Payment and Settlement System (PAPSS) is an initiative spearheaded by Afreximbank, Africa’s leading trade finance institution, aimed at stimulating the expansion, diversification, and development of African trade. PAPSS enables secure and efficient money flow across African borders, minimizing risk and promoting financial integration across the regions. Currently, PAPSS facilitates payments across 28 African countries and connects over 190 commercial banks and fintechs, supported by 16 payment switches and an extended network that includes more than 250 additional financial institutions.
Source: www.zawya.com
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