As part of Egypt’s efforts to deepen economic collaboration with African nations, the Central Bank of Egypt (CBE) has joined the Pan-African Payment and Settlement System (PAPSS). Developed by the African Export-Import Bank (Afreximbank), PAPSS streamlines cross-border payments and trade transactions, reducing costs and processing times while fostering stronger economic ties between Egypt and its African counterparts.
Rami Aboulnaga, Deputy Governor of the CBE, highlighted that the agreement reflects Egypt’s commitment to expanding commercial and economic partnerships, particularly with African nations. He noted that this milestone is the result of ongoing collaboration between the CBE and other African central banks.
PAPSS offers significant advantages, encouraging banks in Egypt and across Africa to participate and facilitating seamless cross-border financial transactions. The system currently includes 14 central banks from countries such as Nigeria, Ghana, Kenya, and Tunisia, alongside over 50 commercial banks. Aboulnaga revealed that several Egyptian banks have already expressed strong interest in joining PAPSS, with the CBE set to oversee their integration into the system.
This initiative is expected to significantly boost intra-African trade, enhance Egypt’s economic ties with its African partners, and promote regional financial integration. Moreover, 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.
