Cross-border payments from Kenya are set to become a lot smoother following an agreement between the Pan-African Payment and Settlement System (Papss) and local payment network PesaLink.

Africa Business Communities reports that the collaboration will link 80 Kenyan financial institutions, including banks, fintechs and telcos, to more than 160 commercial banks across Africa. This will allow instant, round-the-clock cross-border payments that are settled in local currencies. At present cross-border transactions can take up to seven business days and cost an average of 8% of the transaction.

The partnership will see PesaLink, which is owned by the Kenya Bankers Association, act as a technical connectivity provider for Papss.

‘PesaLink is the first switch we’ve piloted for transaction termination in Kenya, and we are already seeing greater adoption by opening more channels for seamless, local-currency cross-border payments,’ says Mike Ogbalu III, CEO of Papss.

The initiative is backed by the African Export-Import Bank, the African Union and the African Continental Free Trade Area.

‘Kenyan banks will now be able to offer faster, cheaper cross-border payments. They will be helping their customers grow more regional trading relationships and thrive in a more integrated digital economy,’ says PesaLink CEO Gituku Kirika.

17 March 2026
Image: Freepik