The initiative is being developed as a proof‑of‑concept (POC) under the East African Community (EAC) payments integration agenda, with the goal of scaling to other partner states.

“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,” said Eng. Daniel Murenzi, the EAC’s Principal Information Technology Officer.

Chairing the Kigali meeting, Fabian Ladislaus Kasole, Assistant Manager for Oversight and Policy at the Bank of Tanzania’s National Payments Directorate, said the two countries are building a “robust technical and operational framework” to ensure the switch‑to‑switch link runs safely and efficiently. “As a region, we remain committed to establishing a framework that enhances cross‑border payment efficiency and financial inclusion,” he added.

How it will work

Once live, the corridor will allow senders in Rwanda or Tanzania to push funds directly from existing bank accounts or mobile money wallets to recipients across the border, with immediate confirmation and settlement through the two national switches.

By creating a direct pathway between the switches, authorities expect to trim intermediary hops and foreign‑denominated routes, which should lower transaction costs, reduce delays, and improve transparency on fees and delivery times.