How AI-Powered Platforms Are Disrupting Trade and Financial Inclusion Across Africa

Africa is rewriting the rules of regional trade — not with new border treaties, but with bytes, blockchains, and mobile phones.

As COMESA and the EAC roll out digital payment platforms enabling real-time, local-currency transactions, the continent is taking a massive leap toward economic self-determination and borderless business.

In a landmark move toward economic integration, the Common Market for Eastern and Southern Africa (COMESA) and the East African Community (EAC) have launched groundbreaking digital payment initiatives designed to overhaul cross-border trade.

These platforms aim to deepen financial inclusion, slash transaction costs, and empower micro, small, and medium-sized enterprises (MSMEs) by enabling seamless, secure, and affordable payments across borders.

On October 9, 2025, COMESA officially unveiled its Digital Retail Payment Platform (DRPP), a pioneering system that allows individuals and businesses to make real-time cross-border payments in local currencies.

The pilot phase, launched along the Zambia–Malawi corridor, enables instant transactions without reliance on scarce foreign currencies such as the U.S. dollar.

Kenya’s Cabinet Secretary for Investments, Trade, and Industry, Lee Kinyanjui, hailed the platform as a “game-changer” during the 24th COMESA Summit held in Nairobi. “This platform offers not just speed and affordability — it offers dignity.”

The Summit brought together heads of state from Burundi, Comoros, Ethiopia, Kenya, Zimbabwe, and other high-level representatives.

Kenya’s President William Ruto officially assumed the Chairmanship of COMESA, pledging to fast-track Africa’s digital transformation.

Member States were urged to adopt tools such as the Electronic Certificate of Origin, Online Non-Tariff Barriers System, and National Single Windows to boost trade efficiency.

The theme: “Leveraging Digitization to Deepen Regional Value Chains for Sustainable and Inclusive Growth.”

Dr. Brilliant Habeenzu, Zambia’s Permanent Secretary for Technology and Science, underscored the DRPP’s practical mission: “We want to simplify the payment system within COMESA to make cross-border trade easier and less costly for MSMEs… If we don’t do it now, we won’t grow our economy.”

Zamtel, the Zambian mobile operator piloting the platform, noted the breakthrough in enabling cross-network payments in local currencies.

Anthony Undi, Zamtel Board Chair, cautioned that for the system to reach its full potential, regulatory frameworks — taxation, foreign exchange controls, and licensing — must be harmonized.

The DRPP allows cross-border transactions to be settled directly in local currencies, eliminating the need for foreign exchange conversions and reducing exposure to exchange rate fluctuations.

It connects banks, mobile money operators, and fintech companies through a unified network, ensuring broad accessibility across sectors.

Designed to empower MSMEs — particularly those led by women and youth — the DRPP aligns with the United Nations Sustainable Development Goals by targeting transaction fees below 3 percent and promoting financial inclusion.

Artificial Intelligence plays a pivotal role within the DRPP’s ecosystem. Machine learning algorithms detect and prevent fraud in real-time, while AI-driven credit scoring expands access to financing for MSMEs.

AI-powered chatbots enhance customer support, improving user experience.

Meanwhile, blockchain technology secures transactions through smart contracts, distributed ledgers, and tokenization, ensuring transparency and trust.

The EAC Cross-Border Payment System Masterplan complements COMESA’s initiative, laying strategic foundations for policy and regulatory harmonization, infrastructure modernization, and capacity building.

The plan emphasizes interoperability and compliance among Payment Service Providers (PSPs), upgrades the East African Payment System (EAPS), and ensures equitable access to financial systems across all Partner States.

Both the COMESA DRPP and the EAC Masterplan aim to revolutionize regional trade by modernizing payment infrastructure, expanding financial inclusion, and reducing costs.

Integration of AI and blockchain technologies promises unprecedented improvements in security, transparency, and efficiency — making these platforms vital enablers of Africa’s economic transformation.

Intra-EAC trade was valued at approximately USD 12.1 billion in 2023, accounting for 15 percent of total trade in the bloc.

 Intra-COMESA trade stood at around USD 14 billion, bringing the combined trade base to USD 26.1 billion — a figure poised to grow as digital tools take hold.

If even half of current intra-regional trade transitions to digital platforms, that would translate to USD 13.05 billion in digitally facilitated trade.

Transaction costs could fall from the current 10 percent average to just 3 percent, in line with UN SDG targets.

The resulting 7 percent net saving would generate an estimated USD 913.5 million annually in reduced costs — or roughly USD 4.5–5 billion over five years.

Given that MSMEs account for up to 70 percent of regional trade, according to the World Bank MSME Finance Gap Database, these savings could have a multiplier effect on job creation.

Studies by the International Labor Organization (ILO) suggest that every USD 1 million reinvested by MSMEs supports 10 new direct jobs, especially in labor-intensive sectors.

“If half of existing regional trade — some USD 13 billion — shifts to these digital rails, MSMEs could capture about USD 639 million in annual savings, spawning 6,390 new jobs each year and more than 30,000 over five years.”

These projections not only demonstrate tangible economic gains but also underscore the urgency of regulatory harmonization, digital infrastructure investment, and cybersecurity frameworks to build trust and adoption.

Meanwhile, the EAC’s finalized Cross-Border Payment System Masterplan, validated in March 2025, rests on four pillars: governance, infrastructure, inclusivity, and capacity building.

Michael Eganza, Chair of the EAC Payment Systems Steering Committee and a Central Bank of Kenya official, described it as “a significant step toward a more integrated payments landscape.”

“An efficient and reliable cross-border payment system is vital for regional economic growth and financial inclusion,” said Aime Uwase, EAC Director of Planning.

The Masterplan tackles persistent bottlenecks — fragmented regulations, high costs, and limited interoperability — while aligning with global best practices such as ISO20022 standards and the exploration of Central Bank Digital Currencies (CBDCs).

From Europe’s Single Euro Payments Area (SEPA) to India’s Unified Payments Interface (UPI), global models show that harmonized, interoperable systems can revolutionize finance.

Africa’s own M-Pesa remains a global benchmark for mobile money, proving how fintech can empower unbanked populations — especially women and rural communities.

Singapore’s Cybersecurity Agency (CSA) also offers lessons for securing digital platforms, vital for building trust in Africa’s financial systems.

These platforms are more than payment tools — they are catalysts for economic transformation.

By cutting delays and currency conversion costs, they strengthen MSMEs, which constitute 80 percent of businesses and 60 percent of employment across COMESA countries.

Digital payments bridge gaps for millions who remain unbanked, integrating more citizens into formal economies.

As digital payments grow, so do complementary technologies — AI, blockchain, and e-commerce — fostering innovation ecosystems across Africa.

Interoperable payment systems pave the way for a unified continental market, unlocking Africa’s trade potential under the African Continental Free Trade Area (AfCFTA).

To sustain momentum, key steps are required: regulatory alignment, digital infrastructure investment, strong public-private partnerships, robust cybersecurity, and financial literacy.

The blocs must harmonize central bank policies, scale rural connectivity, and expand cloud infrastructure through partnerships such as the World Bank’s EARDIP.

Engaging fintechs, telecoms, banks, and governments will be critical to fostering innovation and trust.

COMESA and EAC should establish regional standards to protect user data and train MSMEs and consumers in digital finance to drive mass adoption and confidence.

The launch of COMESA’s DRPP and the EAC’s Cross-Border Payment Masterplan marks a turning point in Africa’s digital economic journey.

If implemented with rigor and cooperation, these initiatives could redefine trade, empower millions, and position Africa not merely as a participant in the global digital economy — but as a leader.

“This is more than a payment system. It’s a foundation for inclusive growth, a bridge for small traders, and a catalyst for regional prosperity,” remarked Kinyanjui.

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