This strategic partnership aims to support the Digital Transformation Strategy for Africa (2020-2030) and promote inclusive instant payment systems on the continent.
The high-level forum on inclusive instant payment systems in Africa held recently in Addis Ababa, Ethiopia was an opportunity for the African Union Commission and AfricaNenda to forge a new collaboration to boost financial inclusion on the continent, highlighting the crucial importance of innovation in extending public digital infrastructure.
As Africa makes progress on intra-African trade through the African Continental Free Trade Area (AfCFTA), digital financial services are playing an increasing role in stimulating economic activity.
According to the AU Commissioner for Economic Development, Trade, Tourism, Industry and Minerals, Albert M. Muchanga, quoted in the press release received by APA on Monday, “by harnessing the power of technology, we are removing the main obstacles to financial inclusion. By providing access to digital financial services for all, we are also helping individuals and communities to participate fully in the economy, benefiting from their talents and resilience.”
Despite progress in digital transformation in Africa, millions of Africans remain excluded from the formal financial system. The partnership between the AU and AfricaNenda therefore aims to close this gap by unlocking access to the financial system for over 400 million adults on the continent, particularly those who are financially marginalised.
For AfricaNenda’s CEO, Dr Robert Ochola, “working with the Commission enables us to increase our scale and reach. We are committed to continue building strategic partnerships across the ecosystem to dvance financial inclusion and foster sustainable and inclusive development on the continent.”
Multi-stakeholder collaboration for financial inclusion
This partnership calls for close collaboration between governments, central banks, regional organisations, the private sector and development institutions. By joining forces, they hope to design and implement high-impact policies to widen access to financial innovations.
“The stakeholder base is broad: Member States, the private sector, civil society organisations, universities, trade unions, young people, women and, among others, development cooperation partners. By working together and coordinating our efforts, we can design and implement high-impact policies and widen access to innovations,” Mr. Muchanga said.
The leaders used the ceremony to underline the urgent need for action to overcome Africa’s digital challenges and unlock the potential of inclusive digital financial services. They also called for the implementation of inclusive instant payment systems across Africa to foster sustainable and inclusive economic growth on the continent.
ARD/ac/fss/abj/APA