All is set for the launch of the COMESA Regional Payment and Settlement System (REPSS) – a move that will facilitate the implementation of the 24 hour regional payment system for importers and exporters, the Executive Secretary of COMESA clearing House (CCH)Dr Kombo Moyana has said.
Dr Moyana said they had received endorsements from central banks, ministers of finances and the council of ministers and were waiting for the endorsement from the Heads of State and Government meeting. He added that a trial run to check on the system and efficiency had been conducted and had gone on very well.
“We are launching the REPSS as soon as the COMESA authority endorses it. We have the support of the banks, exporters and importers and all who are involved in the production sector.”
He said that they will be using two currencies, the Euro and the United State of America Dollar through the central bank of
Mr Moyana added that, “The regional payment system is open to any other country beyond COMESA for exports and imports through respective central banks. The exporters and All set for COMESA Regional Payment and Settlement System (REPSS) 6th June 2009 importers only need to notify their banks that they want to use the payment system,” Tanzania is scheduled to be the first non COMESA Country to use REPSS .
Dr Moyana said the system is affordable with fewer expenses unlike the current system where the region has to go through international capitals such as New York,
“We are doing away with sending our money through banks in UK, USA, China, that was taking about five days for a transaction to be concluded which was not favorable for importers and exporters,”
“The expense of the transaction is point 25 percent between the central banks and point 25 percent for commercial banks which is all affordable,” he said.
The Chief technical Advisor in the CCH Mr Mahmood Mansoor said the similar system had been tried and tested in the past by some of the world’s best banks like the Banks of International Settlement who all gave thumbs up and COMESA will be looking at the best practices from what was done.
“The system is good, we are ready to launch it,” he said.
Coutesy: 6th June COMESA