The Bank of Central African States (BEAC) has joined the Pan-African Payment and Settlement System (PAPSS), extending the continent’s cross-border payments network into six Central African economies as Africa accelerates efforts to reduce its reliance on foreign currencies for regional trade.
BEAC, which serves Cameroon, the Central African Republic, the Republic of Congo, Gabon, Equatorial Guinea and Chad, became the latest central bank to join the platform developed by Afreximbank in partnership with the African Union and the African Continental Free Trade Area Secretariat (AfCFTA).
The move expands PAPSS’ footprint to 28 African countries, connecting more than 190 commercial banks and financial technology firms, supported by 16 payment switches. Through partner networks, participants can also transfer funds to more than 250 additional financial institutions, significantly widening the platform’s reach across the continent.
BEAC’s accession provides PAPSS with a strategic gateway into the Central African Economic and Monetary Community (CEMAC), a regional bloc of more than 72 million people, strengthening payment links between Francophone Central Africa and the rest of the continent.
The expansion seeks to remove one of the biggest barriers to intra-African commerce. the cost and time required to move money across borders. Businesses trading between African countries often rely on correspondent banks outside the continent and settle transactions in foreign currencies such as the U.S. dollar or euro, increasing transaction costs, settlement times and foreign exchange risks.
PAPSS allows payments to be initiated and settled in local African currencies within seconds, eliminating the need for third-party correspondent banks and reducing dependence on external payment infrastructure.
“By joining PAPSS, BEAC is creating the conditions for faster, more affordable and more efficient cross-border payments between the CEMAC countries and Africa,” BEAC Governor and Association of African Central Banks Chairman Yvon Sana Bangui said in a statement.
PAPSS Chief Executive Officer Mike Ogbalu III said BEAC’s participation would open new trade and payment corridors between Central Africa and the rest of the continent, supporting cross-border commerce and economic activity.
The addition of BEAC represents another step toward continent-wide coverage for PAPSS. The system plans to begin a pilot with the Central Bank of West African States (BCEAO) later this year, a move that would connect another major regional monetary bloc and move the platform closer to linking Africa’s payment systems through a single network.
For commercial banks and fintech companies, the expanded network creates opportunities to offer cross-border payment services across a larger market without building separate bilateral arrangements. Exporters and importers stand to benefit from faster settlement, lower transaction costs and reduced foreign exchange conversion expenses, while individuals could send and receive money across participating countries more efficiently.
PAPSS and BEAC will work through the end of 2026 to integrate financial institutions across the CEMAC region and roll out payment services to businesses and consumers, laying the groundwork for broader financial integration under the AfCFTA.
