First Bank In East Africa To Integrate PAPSS Into Its Systems; KCB
First Bank In East Africa To Integrate PAPSS Into Its Systems; KCB
KCB Group has signed up to the Pan-African Payment and Settlement System (PAPSS), reinforcing its commitment to enhancing cross-border trade and financial integration across the continent.
PAPSS is a centralized financial market Infrastructure developed by the African ExportImport Bank (Afreximbank) to facilitate cross-border payments and trade transactions, reducing both costs and processing times.
The system’s net settlement mechanism will help alleviate pressure on the demand for foreign currencies, supporting a more efficient and sustainable regional trade framework.
First Bank In East Africa To Integrate PAPSS Into Its Systems; KCB
As the first bank in East Africa to integrate PAPSS into its systems, KCB customers will now be able to enjoy faster settlement times, reduced costs associated with currency conversion, and increased access to new markets across Africa.
PAPSS CEO, Mike Ogbalu welcomed KCB to the system noting “KCB’s successful onboarding into PAPSS as the first bank in East Africa is a remarkable achievement that showcases their commitment to enhancing financial connectivity and supporting the implementation of the AfCFTA…”
“I extend my heartfelt gratitude to the KCB team for their dedication and hard work in making this milestone possible. With PAPSS, KCB customers will experience unprecedented ease in cross-border transactions, paving the way for enhanced trade opportunities and economic growth across the continent.” He added
With a presence in 7 East African countries, KCB brings on board its payments and collections expertise spanning over a century.
This means that its customers will now have access to vast economic opportunities that will deliver multiple advantages and efficiencies especially when conducting intra-African trade payments.
Speaking on the milestone, KCB Group CEO, Paul Russo said “We want to play a bigger role in catalyzing trade and payments in Africa and beyond, leveraging our digital capabilities and regional footprint. Our entry into PAPSS aligns perfectly with our strategy of supporting economic growth in Kenya and across Africa by facilitating seamless financial transactions.”
The platform puts KCB at the forefront of facilitating trade across Africa as it continues to play a pivotal role in driving Africa’s economic transformation and reinforcing its position as a leading financial institution in the continent.
“With intra-Africa trade currently at 14%, there is an opportunity for players within the ecosystem to progressively evaluate the opportunities that can be harnessed to support with PAPSS leading the way on this,” said Lee Kinyanjui, Cabinet Secretary Ministry of Investments, Trade & Industry.
First Bank In East Africa To Integrate PAPSS Into Its Systems; KCB
The Pan-African Payment and Settlement System (PAPSS) is expanding, now including 15 Central Banks, over 150 commercial banks, and 14 switches across Eastern, Western, Northern, and Southern Africa.
Its adoption has surged as financial institutions integrate PAPSS into their digital platforms, promoting greater access to services and economic integration.
The network expects to add more Central Banks soon, broadening citizen benefits from the African Continental Free Trade Area (AfCFTA).
