The Pan African Payment and Settlement System (PAPSS) and the African Securities Exchange Association (ASEA) have signed a Memorandum of Understanding to enhance collaboration and cooperation in promoting cross-border payments of Capital Markets infrastructure in Africa.
For a long time, investors doing business in Africa have struggled with making and settling cross-border payments. Payments take a long time to complete, are expensive since the existing environment necessitates the use of correspondent banks outside of the continent, and are done in foreign currencies (USD or Euro). Because of this, African Export and Import Bank (Afreximbank) and the African Continental Free Trade Area (AfCFTA) Secretariat developed PAPSS, which enables instant cross-border payment in local currency.
Commenting on the signing, the Chief Executive Officer of PAPSS, Mr. Mike Ogbalu III, said: “PAPSS supports a wide variety of use cases, including cross-border retail and trade…
