Kenyan traders can now trade with their peers from African member states using the shilling after the Central Bank of Kenya on Friday signed the instruments that have finally seen Kenya join the Pan African Payments and Settlement System (PAPSS).
The Pan-African Payment and Settlement System – PAPSS – enables the efficient flow of money securely across African borders, minimizing risk and contributing to financial integration across the continent.
Making the announcement on X, formerly Twitter, Trade CS Moses Kuria said the move meant that Kenyan companies can now trade with their peers from other African Member States using our local Currencies, a major boost for the African Continental Free Trade Area (AfCFTA).
For Kenyan traders, whether shopping, transferring money, paying salaries, dealing in stocks and shares or making high-value business transactions with other Africans, PAPSS’ real-time infrastructure is set to provide a reliable, cost-effective answer for instant payments.
PAPSS works in collaboration with Africa’s central banks to provide a payment and settlement service to which commercial banks, payment service providers and fintechs across the region can connect as ‘Participants’.
At a time when cross-border trading is high on the agenda with the African Continental Free Trade Area (AfCFTA) agreement now a reality, PAPSS is primed to facilitate the expected increased volumes in cross-border payments.