Nigerian churches are driving a surge in cross-border payments across Africa, according to Mike Ogbalu, CEO of the Pan-African Payment and Settlement System. Speaking at a media chat, he revealed that the platform’s data shows a growing volume of payments flowing into Nigeria from worshippers across the continent who remit tithes, offerings, and other church-related contributions to Nigerian religious organizations.
“We’re seeing a lot of faithful across Africa who pay tithes and other contributions to churches in Nigeria,” Ogbalu said. The system has recorded such transactions from multiple African countries, including Kenya, highlighting the continental reach of Nigerian religious institutions. He noted that PAPSS has recorded such transactions from multiple African countries, including Kenya, showing the continental reach of Nigerian religious institutions. “We are beginning to see that many people follow Nigerian churches across the length and breadth of Africa. A lot of people are now giving their tithes and offerings,” Ogbalu added. The disclosure highlights an emerging trend in Africa’s evolving cross-border payments setting, where digital and local-currency settlement systems are gradually reducing dependence on the U.S. dollar and lowering transaction costs. According to Ogbalu, religious payments have become a notable component of transaction activity on the PAPSS platform, reflecting the influence of Nigerian churches beyond the country’s borders.
Beyond Religious Remittances
Beyond church-related remittances, the CEO noted strong transaction volumes between Nigeria and several African countries, such as Ghana, Kenya, and Rwanda. Surprisingly, Nigeria-Rwanda transactions are now approaching and sometimes exceeding those between Nigeria and Ghana. “Most interestingly, Nigeria and Rwanda are almost exceeding Nigeria and Ghana in transaction volumes. That was a bit surprising because historically there has always been significant business activity between Nigeria and Ghana,” he said. The PAPSS CEO also pointed to growing transaction corridors linking Nigeria with Cameroon, Niger Republic, and Benin Republic, driven largely by trade in Nigerian goods. “There is a lot of flow of transactions between Nigeria and its West African neighbours,” Ogbalu observed. The growing volume of church-related remittances and trade payments flowing through PAPSS shows the increasing integration of African economies and communities.
The platform currently operates in 30 African countries and aims to expand to about 38 countries by the end of 2026. South Africa remains the only major African economy yet to join the platform, although discussions with authorities there are progressing positively. This expansion would significantly broaden the reach of instant cross-border transactions across the continent, facilitating smoother payment flows between markets that have historically faced friction due to currency mismatches and limited banking interoperability.
AfCRA Launch and Stablecoin Integration
Commenting on the upcoming launch of the African Credit Rating Agency in Mauritius, Ogbalu said African-led institutions could help address longstanding concerns about how the continent is assessed by international rating agencies. This could encourage greater retention of African capital within the continent. “When African rating agencies are reviewing African institutions, we begin to see changes where more of Africa’s capital remains within the continent and supports development needs,” he said. The initiative aims to provide more context-driven credit assessments that reflect the unique economic realities of African markets rather than relying solely on methodologies developed for Western economies.
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The platform is also exploring ways to support stablecoins and other digital currencies within its payments ecosystem, with potential announcements in the near future. Ogbalu described digital assets as technologies that are “here to stay,” praising the regulatory efforts of the Central Bank of Nigeria and the Securities and Exchange Commission in creating frameworks for digital currency adoption. The integration of stablecoins could further reduce settlement times and costs by providing a bridge between traditional fiat currencies and digital payment rails, enabling seamless conversions without relying on volatile cryptocurrency markets.
Africa loses about $5 billion annually due to foreign exchange inefficiencies, multiple currency conversions, and inadequate payment interoperability. This significant capital leakage shows the urgent need for platforms that can streamline transactions across the continent. The report highlighted the need for platforms to streamline transactions across the continent, emphasizing that reducing these inefficiencies could unlock substantial capital for domestic investment and development.
His comments come amid forecasts of rapid growth in Africa’s cross-border payments industry. Driven by fintech innovation, increased intra-African trade, and wider adoption of mobile money solutions, the market is experiencing unprecedented expansion. The growing transaction corridors and religious remittance flows demonstrate how digital payment infrastructure is supporting deeper economic ties between African nations that were previously constrained by banking limitations and currency barriers.
Recently, Nigeria’s Minister of Finance, Taiwo Oyedele, called for the development of a cross-border payment card that would allow transactions between African currencies without requiring conversion through third-party currencies like the U.S. dollar. Oyedele highlighted the need for more efficient payment infrastructure to support intra-African trade under the African Continental Free Trade Area. Such innovations could further accelerate the integration of African markets and reduce the continent’s dependence on external currencies for inter-regional commerce.
The payment platform reveals a substantial surge in cross-border financial interactions across the continent. Religious remittances and trade payments point to deeper economic integration among African nations.