Abidjan, 13 January 2023 -- The African Development Bank’s Africa Digital Financial Inclusion Facility (ADFI) has signed a grant agreement for $1,000,000 with the West African Monetary Agency (WAMA) to provide technical assistance for harmonization of payments system infrastructure across the Economic Community of West African States (ECOWAS) region.
Funding for the ECOWAS Payments and Settlement Systems (EPSS) interconnection project will support technical assistance to strengthen governance, project management and build capacity of the integrated regional digital payments system, enhancing its speed and cost-effectiveness.
WAMA, an autonomous and specialized agency of ECOWAS, is overseeing development of the regional payment and settlement system in close collaboration with the relevant institutions.
WAMA Director General, Momodou Bamba Saho, said, “We are delighted to work in partnership with the African Development Bank, with support from World Bank, to strengthen the regional integrated payment and settlement systems to stimulate greater economic potential and growth across ECOWAS member states.”
The Africa Digital Financial Inclusion Facility is supporting the project, which builds on a feasibility assessment commissioned in 2013 by ECOWAS, member central banks and other stakeholders. The study highlighted the potential of harmonising payment systems across the region including maximising the interconnection between digital financial services and the facilitation of cross-border payments and trade.
The move is seen as driving closer integration as the region prepares to launch a single currency (the ECO) and to establish the Central Bank of West Africa (CBWA). The harmonized payment system is also expected to complement other African Development Bank initiatives, such as the BCEAO interoperability project.
“The African Development Bank, through the Africa Digital Financial Inclusion facility (ADFI), is delighted to support this project, which lays the foundation for regional payments interoperability and integration, including cross-border trade and remittances,” said Sheila Okiro, ADFI Coordinator.”We are happy to support WAMA and ECOWAS, and also to work jointly with the World Bank.”
