The Kenyan government has shown support in KCB’s integration into the Pan-African Payment and Settlement System (PAPSS), a move set to enhance intergovernmental trade and financial transactions across Africa.
As the first East African bank to adopt PAPSS, KCB place itself as a key player in streamlining cross-border payments, reducing transaction costs, and strengthening regional economic cooperation.
Speaking at the unveiling, Cabinet Secretary for Investments, Trade & Industry Lee Kinyanjui emphasized on removal of trade barriers to make it easier for African countries doing business.
“The liberation of African economies will only be achieved when we remove balance of payment challenges within the continent. With intra-African trade at just 14%, there is a major opportunity to improve trade efficiency, and PAPSS is leading the way,” said CS Kinyanjui.
The Central Bank of Kenya (CBK) also welcomed the development, Michael Eganza, CBK Director of Banking & Payment Services, reaffirmed the regulator’s support for innovations that enhance financial connectivity and inclusion.
“The Central Bank is committed to enabling financial players like KCB to enhance the payments ecosystem. We are continuously working on regulations that will foster innovation while ensuring financial stability and inclusion,” he stated.
With PAPSS expanding across Africa, KCB’s participation is expected to facilitate faster and cost-effective transactions, strengthen economic ties, and create new business opportunities for African enterprises.
The Pan-African Payment and Settlement System (PAPSS), developed by the African Export-Import Bank (Afreximbank), aims to simplify cross-border payments by allowing African businesses and governments to trade using local currencies, reducing reliance on foreign currencies and enhancing financial autonomy.
With this breakthrough, KCB is reinforcing its role as a financial leader in Africa, driving trade integration and contributing to the success of the African Continental Free Trade Area (AfCFTA).
