EAC Pushes FinTech Integration to Drive Trade and Financial Inclusion
The East African Community (EAC) has announced renewed efforts to fast-track FinTech integration to strengthen cross-border trade, financial inclusion, and economic productivity in the region.
At the Peer-to-Peer Conference on Financial Services held in Kampala, key regional leaders and stakeholders emphasized the importance of harmonized regulations, improved digital infrastructure, and system interoperability. These elements are seen as essential to realizing the full benefits of digital finance within the EAC bloc.
Adrian Njau, Acting Executive Director of the East African Business Council (EABC), said integrated financial services are vital for sustainable economic growth. He stressed that while mobile money has seen impressive uptake—over 36 billion transactions valued at more than $200 million in 2023 across East Africa—regulatory fragmentation continues to hinder regional financial integration.
Uganda’s State Minister for Finance, Henry Musasizi, highlighted the country’s own achievements, noting that over 66% of Ugandans now use mobile money, up from just 28% in 2009. “Out of Uganda’s 45.9 million population, more than 25 million are registered for mobile money,” he said.
Despite such progress, challenges remain. Njau pointed to gaps in system interoperability, poor infrastructure, and limited use of key regional tools like the East African Payment System (EAPS) and Pan-African Payment and Settlement System (PAPSS). He criticized reliance on expensive global card systems, which drive up transaction costs unnecessarily.
Musasizi confirmed Uganda has adopted measures like the National Payment Systems Act to improve interoperability and called for other EAC states to adopt similar reforms.
EAC Deputy Secretary General Annette Mutaawe Ssemuwemba also reaffirmed the bloc’s commitment to digital financial transformation. She revealed that new payment system solutions are being tested, and work is ongoing to standardize regulations around cross-border data exchange and cybersecurity.
She praised examples like Kenya’s M-PESA, Rwanda’s $50 million FinTech fund, and Uganda’s mobile money growth as regional success stories. However, she stressed that coordinated strategies are essential for scaling these gains across all member states.
The event, supported by the European Union, was themed “Digital Innovation in Financial Services to Boost Cross-Border Trade and Productivity: Empowering East Africa’s FinTech Ecosystem.” EU representative Sanne Williams commended the EAC for advancing its payment systems master plan and pledged continued EU support for regulatory and infrastructure development.
The consensus at the conference was clear: for East Africa to unlock its digital economic future, policy alignment, innovation, and regional cooperation must go hand in hand.
