Algeria has strengthened its role in Africa’s financial integration by officially joining the Pan-African Payment and Settlement System (PAPSS), a flagship initiative aimed at streamlining cross-border trade across the continent.
The Bank of Algeria confirmed its entry into the system, which was launched by the African Export-Import Bank (Afreximbank) with backing from the African Union Commission and the African Continental Free Trade Area (AfCFTA) Secretariat.
With this move, Algeria becomes the 18th African country to adopt PAPSS, a network designed to eliminate the barriers that have long slowed or complicated financial transactions between African states.
The platform enables businesses and institutions to make instant cross-border payments in local currencies, reducing reliance on third-party systems and foreign currencies. Supporters argue the system will not only cut transaction costs and time delays but also strengthen transparency and financial security across the continent.
Algeria’s participation is expected to deepen trade integration within the AfCFTA framework, which aims to create a unified African market. By facilitating faster and more secure payments, the initiative seeks to encourage intra-African trade and investment — areas that have historically lagged due to fragmented financial systems.
PAPSS has been described by Afreximbank as a “game-changer” for Africa’s economic future, offering African businesses the tools to trade more efficiently with each other without the added burden of costly and slow payment processes.
Algeria’s entry comes at a time when several African economies are seeking to diversify trade partners and reduce external dependency, making financial harmonisation a crucial step in achieving sustainable growth.
As the system continues to expand, Algeria’s involvement marks a significant milestone in the continent’s effort to build a stronger, interconnected, and self-reliant economic bloc.
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