Payments on Comesa platform hit Sh185m

Money Markets

A total of 65 foreign currency denominated transactions were carried out on the platform. PHOTO | FILE 

By DAVID HERBLING

Payments made through a regional cross-border transfer system hit Sh185 million in the first six months of the year, indicating rising public awareness and uptake of a platform introduced to ease trade.

The Regional Payment and Settlement System (REPSS) said it handled real-time bank transfers totalling $1.69 million and €63,656.71 in the half year to June.

The Common Market for Eastern and Southern Africa (Comesa) launched the platform in October 2012 to ease regional trade by offering same-day settlement of funds within the bloc.

Kenya plugged into the payments system in 2014. The platform has so far interconnected banks in eight member countries including DR Congo, Malawi, Mauritius, Rwanda, Swaziland, Uganda, and Zambia.

“Some of the key benefits of using the REPSS platform are that it guarantees prompt payment for exports as well as other transfers,” Comesa said in a statement.

“This in turn should increase trade within the region,” the 19-member bloc added.

A total of 65 foreign currency denominated transactions were carried out on the platform.

The payment and settlement system is aimed at helping reduce non-tariff barriers such as high transaction fees on inter-country wire transfers, foreign currency fluctuations and capital account restrictions, Comesa says.