Cross-border payments in Africa remain among the most expensive globally, with sending $200 to another African country costing up to 7.9%, far exceeding the UN's 3% target. Despite this, Africa's cross-border payments market is expected to grow significantly, reaching $1 trillion by 2035. Experts attribute the high costs to fragmented regulations, inconsistent policies, and continued reliance on the U.S. dollar. While there are 36 domestic and three regional instant payment systems in operation, regulatory hurdles such as licensing discrepancies, foreign exchange controls, and data localization laws impede progress. The Association of African Central Banks (AACB) has taken steps toward harmonization through Resolution 21, aiming to unify policies under the guidance of the AfricaNenda Foundation.
Bias read (Center): The article presents information on policy fragmentation and regulatory challenges affecting cross-border payments in Africa. It includes quotes from experts and mentions initiatives like the Association of African Central Banks (AACB) and the AfricaNenda Foundation. The tone remains neutral, citing
