EAC's Regional Mobile Money Interoperability Efforts Advance with Payment System Masterplan
14 October 2026
The East African Community (EAC) has made significant strides in developing a harmonized framework for cross-border mobile money interoperability, with the recent announcement of the EAC Cross-Border Payment System Masterplan. Although not yet fully implemented, this regulatory roadmap outlines a clear path towards creating a more seamless and efficient ecosystem for digital payments across the region.
Current State of Cross-Border Mobile Money
Already, mobile money giants like M-Pesa, MTN MoMo, Airtel Money, Tigo, and Vodacom enable real-time wallet-to-wallet cross-border transfers on key corridors, including Kenya–Tanzania, Kenya–Uganda, Kenya–Rwanda, and Uganda–Tanzania. These connections are facilitated through bilateral and multilateral commercial agreements, but interoperability remains patchy, fees can be high, and regulatory oversight is fragmented.
The ECDPM identified expanding mobile money from remittances to low-value trade as the next strategic step for East Africa.
EAC Masterplan and Regulatory Agenda
At the heart of the EAC's efforts is the Cross-Border Payment System Masterplan, a detailed blueprint for harmonizing legal, regulatory, and oversight frameworks for payments. The Masterplan labels the absence of an enforceable regional payments law and regulatory framework as a key barrier to smoother cross-border transactions.
Harmonizing licensing conditions, developing mobile money scheme rules, and setting minimum consumer protection standards are core components of the Masterplan. The framework is also expected to feature a regional working group to co-create regulatory guidelines for cross-border mobile money.
Furthermore, the Masterplan envisions a three-phase implementation, with full interoperability targeted for 3–5 years and alignment with global payment networks and emerging fintech on the horizon.
Regional Instant Payment and Broader Interoperability
The EAC is currently building a regional instant payment network, with a proof-of-concept linking Tanzania's TIPS and Rwanda's RSwitch to enable rapid, low-cost cross-border bank-to-wallet transfers. This pilot, which includes joint technical and risk management frameworks, is set to expand and inform interoperability efforts across all EAC member states.
Harmonizing cross-border payment regulations, adopting common messaging standards like ISO 20022, and addressing regulatory disparities are additional priorities cited by the EAC in its push for more inclusive, efficient digital payment flows.
National Interoperability Efforts Provide Context
Familiar threads of the EAC's regional efforts can be found in national digital finance initiatives. In Tanzania, operator-to-operator mobile money agreements laid the groundwork, later bolstered by supportive regulations. Kenya is planning to establish legal frameworks and standards for payment interoperability, while Uganda launched mobile money interconnectivity in 2018 off a structured regulatory evolution.
These national experiences highlight the importance of harmonization, regulation, and, above all, regional cooperation in overcoming interoperability challenges.
The EAC's mobile money interoperability initiative shows promise, with regulatory harmonization and regional pilot programs paving the way for broader adoption. However, sustained collaboration among member states and private sector partners will be crucial to achieving full cross-border interoperability in the targeted 3–5 year timeframe.