The Bank of Algeria has joined the Pan-African Payment and Settlement System (PAPSS), a system introduced by African Export-Import Bank in collaboration with the African Union Commission and the African Continental Free Trade Area Secretariat.

Expansion of PAPSS

This move positions Algeria as the eighteenth country to adopt PAPSS, which has significantly expanded since its launch in West Africa in 2022. The system now covers Northern Africa with notable participation from Tunisia, Egypt, and Morocco.

PAPSS Overview

The PAPSS was initially announced by Afreximbank and the African Union back in 2019 as a centralized financial market infrastructure to facilitate efficient money transfers across Africa. As of now, it connects 18 countries from four African regions, along with over 150 commercial banks and 14 switches.

Joint Ventures and Recent Developments

The inclusion of Algeria follows the launch of PAPSSCARD by PAPSS, Afreximbank, and Mercury Payment Services in July 2025. Bank AI-Maghrib also joined the network shortly after Algeria’s decision.

Benefits of PAPSS for Africa

According to officials from PAPSS, joining the system is expected to strengthen North Africa’s presence within the platform and boost confidence in its capabilities. So far, PAPSS has reduced intra-Africa cross-border transaction costs by up to 27% for users while also supporting banks with increased transaction volumes through digital channel integration.

Algeria’s Commitment

The Bank of Algeria highlighted that joining the system will optimize payment efficiency and aid in facilitating intra-African trade, thereby advancing Algeria’s role within the African financial ecosystem and promoting regional economic development.

Africa’s Financial Landscape in 2025

Even as global economic challenges persist, Africa’s financial sector continues to display resilience. Recent data projects strong growth for the continent, driven by rising consumer demand, enhanced governance, and renewed efforts to diversify economies. The adoption of fintech solutions is a key trend, with technologies being widely embraced to enhance financial inclusion in underserved communities.