The Head of Technology and Operations, Pan-African Payment and Settlement System (PAPPS), Ositadimma Ugwu, has disclosed the platform is driving digital inclusion by ensuring everyone has access to seamless cross-border payment transactions across Africa.
Speaking during an interactive session with members of the Nigerian Fintech community in Lagos, recently, he observed that in some African countries, some people cannot make payments beyond their immediate locality. “Some don’t even have access to digital payments. PAPPS is there to ensure we just don’t empower you to go beyond your immediate location but adopt inclusion and ensure more people have access to cross-border payment across Africa,” he stated.
He added PAPSS ensures instant or near-instant transfers of funds between originators in one African country and beneficiaries in another.
Explaining how it works, he disclosed that an originator issues a payment instruction in their local currency to their bank or payment service provider, and then the payment instruction is sent to PAPSS.
Speaking further, he said “PAPSS thereafter carries out all necessary validation checks on the payment instruction. The payment instruction is forwarded to the beneficiary’s bank or payment service provider and the beneficiary’s bank clears the funds to the beneficiary in their local currency.”
Specifically, he stated PAPSS is also bringing together a growing network of central banks, commercial banks, payment service providers and other financial intermediaries, recognizing the economic benefits of simplifying the payment landscape across the African continent so that more Africans can trade with each other.
He added corporate firms, SMEs and individuals can benefit from the solutions by instant/near instant payments of cross-border transactions without the hassle of currency conversion; improved working capital through payment certainty and faster transactions and access to various payment facilitating options through a growing network of financial intermediaries.
He revealed PAPSS is compliant with global regulatory standards to build the highest levels of trust assurance with its stakeholders.
