Angola’s Kwanza Joins SADC Regional Payment System
Angola’s kwanza has been introduced as a settlement currency in the Southern African Development Community (SADC) Real-Time Gross Settlement (SADC-RTGS) system, marking a significant step towards strengthening regional financial integration and facilitating cross-border trade.
The announcement was made jointly by the Governor of the South African Reserve Bank, Lesetja Kganyago, and the Governor of the Banco Nacional de Angola, Manuel Tiago Dias, who said the move will allow participating financial institutions to settle eligible cross-border transactions directly in Angolan kwanza.
The development makes the kwanza the second settlement currency in the SADC-RTGS system after the South African rand.
It is expected to improve the efficiency of regional payment systems, reduce transaction costs associated with currency conversions, and support increased trade and investment among SADC member states.
For Namibia, the introduction of the kwanza into the regional payment system does not affect the status of the Namibian dollar or the continued circulation of the South African rand under the Common Monetary Area arrangements.
Instead, the change relates to how participating banks process and settle qualifying cross-border payments within the SADC region.
The initiative is expected to benefit businesses engaged in trade between Namibia and Angola by enabling more efficient payment settlement, potentially lowering transaction costs and improving the speed of cross-border financial transactions.
The inclusion of the kwanza in the SADC-RTGS system forms part of broader regional efforts to deepen economic integration, strengthen financial cooperation and promote intra-African trade through modern, secure and efficient payment infrastructure.
