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The Pan-African Payment and Settlement System (PAPSS) is preparing to accelerate adoption and transaction growth across Africa as it enters the next phase of its expansion strategy following significant growth in its network and payment activity.
Speaking at a media briefing in Lagos, PAPSS Chief Executive Officer Mike Ogbalu III said the platform now operates in more than 30 African countries across all five regions of the continent.
The payment infrastructure connects 24 national and regional central banks, more than 200 commercial banks and payment service providers, and 16 switches. Through strategic partnerships, PAPSS also has a termination footprint covering more than 300 financial institutions.
Around 10 additional countries joined the PAPSS ecosystem during 2026, with further expansion expected before the end of the year.
PAPSS shifts focus from infrastructure to adoption
Ogbalu said the platform’s initial phase focused on establishing the infrastructure, expanding connectivity and building trust among participating markets and institutions.
As PAPSS moves into its next phase from 2027, the focus will increasingly shift towards activating the network and driving broader adoption.
“The first phase of PAPSS has been about building, connecting and establishing trust. We have built the infrastructure, expanded our network across Africa and demonstrated that PAPSS can deliver tangible benefits. As we move into our next phase from 2027, our focus will increasingly shift towards activating that network, deepening adoption and taking transaction growth to scale,” Ogbalu said.
The strategy is expected to place greater emphasis on partnerships with banks, fintech companies, switches and other payment providers to integrate PAPSS into channels already used by businesses and consumers.
Transaction volumes rise sharply
PAPSS has recorded significant growth in usage as its network has expanded.
Between comparable periods in 2025 and 2026, transaction volumes across the network increased by approximately 1,000 per cent, while transaction values grew by about 120 per cent.
Nigeria has been a major contributor to the increase, recording approximately 1,100 per cent growth in transaction volumes and 125 per cent growth in transaction values over the same period.
The platform has also reported substantial efficiency gains, with PAPSS transactions generating estimated cost savings of between 92 and 95 per cent per transaction.
According to the payment system, processing times have fallen by as much as 99.99 per cent, while foreign exchange requirements can be reduced by up to 80 per cent.
Ogbalu said the growth demonstrates increasing demand for infrastructure that can facilitate more efficient cross-border payments across African markets.
“The growth we are seeing demonstrates that the infrastructure is working and that demand is increasing as more institutions and markets participate. The next opportunity is to make these benefits available at much greater scale by working more closely with banks, fintechs, switches and other partners to bring PAPSS into the channels businesses and individuals use every day.”
Expanding access to African cross-border payments
PAPSS enables cross-border payments through participating financial institutions and supports transactions using African currencies.
The system is designed to connect payment ecosystems that have historically operated largely within national and regional boundaries, creating infrastructure for businesses and individuals to move money across participating African markets.
As part of its next phase, PAPSS plans to deepen market activation, improve customer awareness, develop priority payment corridors and increase the availability of its services through participating financial institutions.
The approach is expected to complement the broader push for more efficient intra-African trade and financial connectivity.
PAPSS expands payment solutions
PAPSS currently operates three major solutions: the PAPSS Instant Payment System, the PAPSS African Currency Marketplace and PAPSSCARD.
The organisation is also piloting additional solutions, with further announcements expected later in 2026.
The expansion of products and payment channels is part of PAPSS’s effort to move beyond establishing connectivity towards increasing the frequency and scale at which African businesses and individuals use the network.
PAPSS to outline next phase at COWRY 2026
The next phase of PAPSS’s development will be further discussed at PAPSS COWRY 2026, the organisation’s annual payments conference scheduled for November 26 and 27 in Addis Ababa, Ethiopia.
The event will be co-hosted with the National Bank of Ethiopia and is expected to provide a platform for stakeholders to examine developments in Africa’s payments ecosystem and the future expansion of PAPSS.
Ogbalu said the platform’s priority is now to translate the infrastructure and network established during its first phase into broader usage and transaction growth.
“We have built the network, we have demonstrated the impact, and we are seeing usage accelerate. Our next phase is about taking all three to scale and ensuring that payments increasingly enable, rather than limit, the ability of African businesses and individuals to participate in opportunities across the continent.”
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