Morocco joins PAPSS, expanding real-time payment integration across Africa - Trade Treasury Payments

Morocco has joined the Pan-African Payment and Settlement System (PAPSS), becoming the seventeenth country to participate in the platform. The agreement was formalised through the signature of Bank Al-Maghrib, the country’s central bank, and reflects continued regional efforts to improve cross-border payment infrastructure under the African Continental Free Trade Area (AfCFTA).

PAPSS, developed by Afreximbank in partnership with the African Union and the AfCFTA Secretariat, enables real-time settlement of cross-border transactions in local currencies. The platform currently connects central banks, commercial banks, and regional payment switches. Morocco’s participation extends the system’s geographic coverage to North Africa and builds on its existing economic ties with Sub-Saharan partners. 

According to PAPSS, the network now includes over 150 participating commercial banks and 14 national switches. The system is intended to support the broader objectives of AfCFTA by reducing operational barriers between African markets. 

Since its commercial launch in January 2022, PAPSS has added functionality beyond basic payments, including an integrated foreign exchange marketplace, compliance screening tools, and plans for future interoperability with mobile money and card payment systems. Its implementation follows resolutions by the African Union Assembly calling for a continent-wide payment platform to underpin the AfCFTA framework.

For financial institutions, PAPSS offers a mechanism for direct clearing and settlement of payments between African currencies. For businesses, the system may facilitate faster and more transparent cross-border transactions, particularly for small and medium-sized enterprises that face higher relative transaction costs.

While the system’s long-term impact remains to be assessed, its expansion is a sign of growing institutional momentum toward building regional financial infrastructure in support of trade and monetary cooperation.