How Money Moves Across Borders – and Why Securing It Matters
Money crosses African borders daily in vast amounts, navigating more than fifty regulatory environments and dozens of currencies. Despite the seamless experience users see on banking apps, the infrastructure behind these cross-border payments faces growing challenges from increasing demand and evolving security threats.
Johnson Idesoh, Group Chief Information and Technology Officer at Absa, highlights that global cross-border payments hit $190 trillion in 2023 and are expected to exceed $290 trillion by 2030. Within Africa, remittances alone total around $54 billion annually, with corporate payments, trade, and government transfers adding even more volume.
At the heart of secure payments lies adaptive authentication — a technology that verifies users beyond traditional fixed-location or device trust models. For Africa, with its high mobile penetration and diverse financial footprints, security must be mobile-native and intelligent. This involves behavioral analysis, biometric data, and machine learning to detect subtle risk patterns.
However, a major hurdle remains: over 80% of African cross-border payments rely on offshore clearing systems, increasing costs and delays. Regional solutions like REPSS and SIRESS aim to internalize these processes, but face adoption challenges due to currency and jurisdictional fragmentation.
Emerging technologies such as distributed ledger systems and AI offer promise, but regulatory uncertainty and the need for data standards limit their full potential.
Idesoh emphasizes that the future of secure African cross-border payments depends not just on technology, but on building interoperable, governed financial systems with shared risk definitions and operational standards. Security architecture must evolve to anticipate risks proactively, ensuring trust across a complex and growing payment landscape.
