Accra: Mr. Dare Okoudjou, Founder and Chief Executive Officer of Onafriq, has announced the platform's capability to integrate mobile money and bank accounts across 54 African countries. By utilizing the digital framework of the Pan-African Payment and Settlement System (PAPSS), Onafriq aims to empower Small and Medium-sized Enterprises (SMEs) in Ghana to facilitate payments through mobile money and bank accounts across the continent.
According to Ghana News Agency, the CEO revealed this during a high-level consultation involving Onafriq, PAPSS, and key stakeholders in the payment sector of Africa and Ghana. This meeting also marked the successful completion of a pilot project that enabled cross-border payments between Ghana and Nigeria. Following this pilot, Onafriq is poised to advance cross-border transactions via mobile money and bank accounts.
Mr. Okoudjou highlighted that Onafriq is already operational in 43 countries, which will ease the extension of the tested system from Ghana and Nigeria to other African nations. The platform is designed to facilitate transfers between mobile money wallets and bank accounts, enhancing payment processes for SMEs throughout Africa.
Mr. Mike Ogbalu, CEO of PAPSS, pointed out the ongoing transformation in Africa's payment systems, potentially amplifying the continent's trade. Since PAPSS's introduction, over 150 commercial banks across 16 countries have been integrated, with transactions averaging seven seconds. He stated that partnerships with fintechs like Onafriq can streamline payments, positioning Africa as a global trade center.
Mr. Ogbalu elaborated that this collaboration will enable businesses to transact in local currencies, lowering costs and accelerating inventory turnover, thus boosting trade. He emphasized that the partnership's success hinges on increased trade volumes, lower transaction fees, improved working capital, and a more unified African market.
Historically, Africa's cross-border payment systems have encountered hurdles such as fragmented currencies, high costs, and regulatory challenges, complicating intra-continental trade. Mr. Okoudjou asserted that Onafriq is designed to tackle these issues of high costs and currency instability that have obstructed cross-border payments.
