Tanzania and Rwanda Begin Linking National Payment Systems to Enable Instant Cross-Border Transfers

Tanzania and Rwanda have started bilateral discussions to connect their national retail payment systems, Tanzania’s Instant Payment System (TIPS) and Rwanda’s National Payment Switch (RSwitch), to enable instant, low-cost cross-border money transfers for citizens and businesses in East Africa.

The initiative has entered its technical implementation phase at a high-level meeting taking place in Kigali from 10th to 14th November 2025.

Once operational, it will allow real-time transfers between bank accounts and mobile money wallets in both countries.

According to the East African Community (EAC) Secretariat, the linkage of TIPS and RSwitch forms a Proof of Concept (POC) pilot to demonstrate the technical and operational feasibility of a direct cross-border payment switch within the EAC.

The Tanzania–Rwanda model will serve as a foundation for future expansion to all Partner States and a step toward a regional digital payments market.

Eng. Daniel Murenzi, EAC Principal Information Technology Officer, said: “This preparatory work marks a pivotal milestone in our regional payment system integration agenda, moving us closer to a single regional instant payment ecosystem that will facilitate secure, affordable, and real-time transactions across borders.”

Mr. Fabian Ladislaus Kasole, Assistant Manager, Oversight and Policy, National Payments Directorate, Bank of Tanzania, said: “As a region, we remain committed to establishing a robust technical and operational framework that will ensure the successful interlinking of our national retail payment systems, ultimately enhancing cross-border payment efficiency and financial inclusion across the region.”

The EAC Secretariat confirmed that the initiative marks the first tangible implementation of the EAC Cross-Border Payment System Masterplan and aligns with the directives of the EAC Heads of State for deeper regional financial integration.

East African Community Payment Integration

The Eastern Africa Regional Digital Integration Project (EARDIP), funded by the World Bank and coordinated by the EAC Secretariat, supports the implementation of the EAC Cross-Border Payment System Masterplan.

The project aims to build a modern regional payment ecosystem by strengthening links between Partner States’ payment systems and developing cross-border and local digital networks.

EARDIP also promotes harmonisation of policies and standards for digital financial services, cybersecurity, and data protection.

It provides technical assistance and capacity building to national institutions to strengthen and manage digital payment systems and facilitate secure and affordable cross-border transactions.