Kenya Commercial Bank (KCB) has made history by becoming the first bank in East Africa to integrate with the Pan-African Payment and Settlement System (PAPSS). This move marks a significant milestone in streamlining cross-border transactions across Africa, enabling businesses and individuals to transact more efficiently with reduced costs and faster settlements.
What is PAPSS?
Developed by the African Export-Import Bank (Afreximbank), PAPSS is a revolutionary payment system designed to facilitate seamless intra-African payments. It eliminates the need for foreign currency conversions, reducing transaction costs and strengthening regional trade frameworks. By linking commercial banks, central banks, and payment switches, PAPSS is a game-changer for African financial integration, supporting the implementation of the African Continental Free Trade Area (AfCFTA).
KCB Group CEO Paul Russo emphasized that the bank’s integration with PAPSS aligns with its mission to drive financial inclusion and expand trade across Africa. “Our goal is to catalyze trade by leveraging digital capabilities and our regional presence,” he stated.
With this partnership, KCB customers—especially businesses engaging in cross-border trade—will enjoy:
Faster transaction settlements compared to traditional banking systems.
Lower currency conversion costs as transactions happen in local currencies.
Increased access to a broader African market, reducing dependency on global banking intermediaries.
A Win for East African Trade
The Central Bank of Kenya has welcomed this development, affirming its commitment to strengthening Kenya’s payments ecosystem. PAPSS CEO Mike Ogbalu also lauded KCB’s onboarding, calling it a significant milestone for East Africa that enhances financial connectivity and economic integration.
Currently, PAPSS has connected 15 central banks, over 150 commercial banks, and 14 payment switches across Africa. As the system expands, it is set to reshape trade, enabling African entrepreneurs—especially women and small businesses—to participate in the continental market without financial barriers.
KCB’s integration with PAPSS signals a new era of digital financial empowerment. As more banks adopt the system, intra-African trade will become more fluid, driving economic growth and fostering deeper regional ties. For entrepreneurs and businesses, this presents an opportunity to trade seamlessly, scale operations, and maximize profits in an increasingly connected African market.
