Somalia launched its first-ever nationwide Instant Payment System (SIPS) on Saturday thus marking a significant advancement in the country’s financial infrastructure.
This system enables consumers to perform instant transfers and QR-based payments securely through mobile and banking applications, authenticated via PIN or OTP.
The Central Bank of Somalia (CBS) spearheaded this initiative under the Somalia Payment Switch (SPS) project, aiming to reduce cash dependency, ensure interoperability among financial institutions, and broaden access to financial services nationwide.
SIPS allows users to initiate real-time transactions and make seamless QR-based payments, enhancing the efficiency and security of digital transactions.
This development is expected to revolutionize business operations in Somalia by providing a standardized and secure platform for digital payments, facilitating the country’s transition towards a cashless economy.
The introduction of SIPS aligns Somalia with other nations adopting modern payment technologies to boost financial inclusion and economic growth.