This pilot marks a significant milestone in the ambition to integrate Africa’s financial systems, encourage formal trade, and make cross-border commerce more inclusive for businesses and individuals alike.

Onafriq, in collaboration with the Pan-African Payment and Settlement System (PAPSS) – the financial market infrastructure project led by Afreximbank and the African Union under the AfCFTA framework- has launched a pilot cross-border payment service in Ghana aimed at streamlining payments for both SMEs and individuals across Africa.

The six-month pilot, announced on June 20, has been approved by the Bank of Ghana (BoG). It allows banks, licensed fintechs, mobile-money providers, and traditional partners working with Onafriq to enable real-time transfers directly into recipients' mobile wallets and bank accounts via PAPSS’s secure infrastructure.

Onafriq CEO Dare Okoudjou emphasized that the service enhances convenience and strengthens economic links between Ghana and partner African markets. “African borders are starting to matter less; this is Onafriq's goal,” he remarked.

Echoing his sentiment, PAPSS CEO Mike Ogbalu III noted that simplifying cross-border payments eases financial burdens on SMEs and supports regional financial inclusion.

The initiative is a practical extension of the 2022 partnership between Onafriq and PAPSS. It targets long-standing challenges around expensive transaction fees, unclear exchange rates, and the informal nature of much intra-African trade. Through this solution, smaller operators can leverage PAPSS’s framework and regulatory protections while benefiting from settlement through Afreximbank, ensuring reliable, timely cross-border transactions.

The pilot phase will assess transaction volumes, user adoption, and foreign exchange dynamics, while delivering better rates and transparency to users. As part of the rollout, the service will soon be available on various mobile money and fintech wallets across participating markets.

Payment systems across Africa, including mobile money platforms, are primarily designed for domestic use and often lack interoperability, making it difficult to transfer funds across borders. This fragmentation presents a major barrier to unlocking the potential of intra-African commerce, particularly for SMEs and digital entrepreneurs who depend on fast, affordable, and seamless transactions to compete and grow in an increasingly connected marketplace.

By enabling seamless, low-cost, and secure transactions across national payment systems, initiatives like the Onafriq-PAPSS pilot can help bridge this gap, reduce reliance on costly foreign intermediaries, and unlock billions in untapped trade potential under the African Continental Free Trade Area (AfCFTA).

Hikmatu Bilali

Sources

Onafriq | Onafriq Partners with PAPSS to Launch Cross-Border Payment Services in Ghana | Onafriq