Cape Town, South Africa, 11-12 May 2024 – The Pan-African Payment and Settlement System (PAPSS) Bank CEO Consultative Forum convened in Cape Town, bringing together high-level stakeholders from across Africa’s financial sector. The forum aimed to assess the progress of PAPSS, address ongoing challenges, and chart a way forward for its broader implementation to facilitate intra-African trade under the AfCFTA.

The meeting was attended by key figures in the banking sector from CEOs and C-suite representatives, led by H.E. Prof. Benedict Oramah, President of Afreximbank, Mr. Mike Ogbalu III, CEO of PAPSS, Amb. Albert Muchanga, Commissioner for Trade and Industry at the African Union Commission and  H.E. Wamkele Mene, Secretary-General of the AfCFTA Secretariat. 

The purpose of the forum was to advance the implementation of PAPSS as the key infrastructure enabling instant payments for intra-African trade. H.E. Wamkele Mene highlighted the importance of overcoming regulatory challenges, improving the system’s efficiency, and reducing costs to make PAPSS more accessible to businesses, particularly SMEs. He also stressed the need for greater political engagement with central banks to ensure broader adoption and to foster economic integration across the continent.

The discussions also explored solutions to accelerate the adoption of PAPSS, with participants advocating for the introduction of trade finance tools, targeted marketing efforts, and closer collaboration with central banks. The forum identified a number of key challenges, including currency exchange issues, fragmented payment systems, and the need for coordinated efforts to promote PAPSS across the continent.

Outcomes and Way Forward:

1. The AfCFTA Secretariat, African Union, and Afreximbank committed to enhancing advocacy efforts and continuing high-level engagements with central banks to ensure the successful implementation of PAPSS.
2. Afreximbank pledged $3 billion to support settlement finality, improve liquidity, and enhance the overall functioning of the PAPSS system.
3. A major outcome of the forum was the decision to establish the African Payment Forum, set to launch in February 2025, which will promote and coordinate efforts to advance PAPSS across the continent.
4. The forum also emphasized the importance of focusing on small and medium enterprises (SMEs) in Southern and Central Africa, aiming to strengthen PAPSS’s presence and usage in these regions.

The forum concluded with a clear path forward, with participants reaffirming their commitment to accelerating the adoption of PAPSS as a critical enabler of intra-African trade and a key mechanism for driving economic integration under the AfCFTA.