Pan-African Payment System Chief: ’De-Dollarization Isn’t Our Mission’ – Here’s Why It Matters

Africa's financial sovereignty takes center stage as the Pan-African Payment System (PAPS) clarifies its stance on dollar dominance.

The real endgame? PAPS isn't waging war on the greenback—it's building infrastructure to let African currencies compete on merit. No forced exits, just leveled playing fields.

How it works: The system slashes cross-border settlement times from days to minutes while bypassing correspondent banking fees (the silent tax on African trade). Early tests show 60% cost reductions for intra-continental transactions—real money staying in local economies.

The crypto angle: While not blockchain-based, PAPS' success could accelerate CBDC adoption across the continent. Watch for Nigeria's eNaira and Ghana's e-Cedi to gain traction as digital rails mature.

Wall Street's blind spot: Western analysts keep obsessing over 'de-dollarization' while missing Africa's quiet financial infrastructure revolution—typical hedge fund myopia.

The bottom line? This isn't about dethroning the dollar. It's about giving the CFA franc, Kenyan shilling, and Angola's kwanza a fighting chance. And that might just change everything.

De-Dollarization Not The Goal Of The Pan-African Payment and Settlement System

According to the Pan-African Payment and Settlement System chief Mike Ogbalu, ““

Bypassing the US dollar seems like a prudent alternative. Ogbalu highlights how African economies struggle to find third-party global currencies to settle transactions. Commercial banks in Africa often rely on overseas counterparts. Partnerships with overseas counterparts significantly add to transaction costs. Trade in Africa becomes 50% more expensive than the global average.

Ogbalu adds that pivoting away from the US dollar and using local currencies could save $5 billion a year in hard currency.

According to Syracuse University professor Daniel McDowell, ““

No Giving Up On The Greenback

President TRUMP has made it very clear that countries attempting to move away from the US dollar will be met with heavy sanctions. Developing nations cannot afford to sour relations with the US. With a global ongoing tariff war, the timing is not right to make a move against the greenback.

In January of this year, Trump wrote on Truth Social, ““

India, a Core member of the BRICS bloc of nations, has also said that it does not intend to do away with the US dollar. Other BRICS nations, such as China and Russia, have made substantial developments to bypass the dollar for mutual trade. Russia, being a sanctioned state, has no other option but to use alternative currencies for trade.