Africa’s cross-border payment infrastructure expanded significantly in 2025, with the Pan-African Payment and Settlement System (PAPSS) extending its reach to more than 500 million mobile money users, seeking to reduce the cost and complexity of doing business across the continent.
The payment platform, established by Afreximbank, the African Union (AU) and the African Continental Free Trade Area Secretariat (AfCFTA), expanded its network to 20 African countries, connecting more than 160 commercial banks and 16 national and private payment switches during the year, according to the bank’s 2025 annual report.
A key milestone came after the PAPSS Governing Council approved the onboarding of financial institutions and financial technology companies onto the platform, broadening access beyond commercial banks and bringing more than 500 million active mobile money users into the payments ecosystem.
The expansion marks one of the biggest steps yet in Africa’s efforts to build a continent-wide payment network capable of settling cross-border transactions in local currencies, reducing reliance on correspondent banks and hard currencies such as the U.S. dollar.
Cross-border payments remain one of the biggest obstacles to intra-African trade, with businesses often relying on overseas correspondent banks to settle transactions between neighboring countries. The process can increase transaction costs, delay settlements and expose traders to foreign exchange risks.
By linking commercial banks, payment switches and fintech firms on a single platform, PAPSS aims to allow businesses and consumers to send and receive payments more quickly while lowering transaction costs. The inclusion of mobile money providers could significantly expand access for small businesses and informal traders, who account for a large share of commerce across Africa but have historically remained outside the formal cross-border payments system.
The payment infrastructure is expected to support implementation of the AfCFTA by making it easier for businesses to settle transactions directly in local currencies, reducing the need to convert payments through third-party currencies.
The expansion complements Afreximbank’s broader trade finance strategy. Separately, the bank’s Payment Services Programme enabled 241 banks and 170 corporations across 46 member states to access payment services, benefiting more than 363 sub-clients, while its MANSA due diligence platform grew to 43,197 verified organizations, helping financial institutions simplify customer verification for cross-border transactions.
