Visa And Senegal Formalise Two-Year Digital Payments Cooperation Arabian Post

(MENAFN- The Arabian Post) clearfix"> Visa and Senegal's Ministry of Telecommunications and Digital Affairs have signed a two-year cooperation agreement aimed at developing digital payments, improving public services and strengthening financial inclusion across the West African country.

The memorandum of understanding, announced on Friday, establishes a framework for collaboration covering financial innovation, cybersecurity and regulatory issues. Both sides will examine potential payment applications linking government agencies and citizens, although no specific platform, investment commitment or implementation timetable has been disclosed.

The agreement is Visa's first partnership of this kind with a Senegalese government institution. It provides for structured discussions between public authorities and the payments company, alongside exchanges of technical expertise intended to identify projects consistent with Senegal's national digital strategy.

A central area of work will be person-to-government payments, which could allow residents to settle public charges electronically. The partners will also assess government-to-person transactions, through which public authorities could transfer money directly to individuals using digital channels.

These arrangements could eventually make administrative transactions more convenient and reduce dependence on physical payment procedures. Their practical application, however, remains subject to further discussions about technical requirements, accessibility, security and the services that might be selected.

Senegal's telecommunications and digital affairs minister, Samba Diouf, linked the agreement to the government's New Deal Technologique programme, which seeks to modernise public administration and expand the role of digital services in the economy.

Diouf said the priority was to move beyond commitments towards practical systems that respond to citizens' needs. He emphasised the importance of secure and inclusive solutions as the government pursues its digital transformation objectives.

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Aminata Kane, Visa's senior vice-president and group country manager for western and central Africa, said the company would contribute its payments expertise to help identify opportunities for wider access to digital services and development of Senegal's payments ecosystem.

The two organisations will also exchange knowledge on cybersecurity, an important consideration as more financial transactions and public services move online. Their cooperation is intended to examine how digital systems can be developed while protecting users and supporting operational resilience.

Regulatory matters form another part of the arrangement. The partners have identified cooperation on relevant rules and financial innovation as areas for discussion, but have not announced legislative proposals or changes to the responsibilities of Senegal's financial regulators.

The distinction matters because a memorandum of understanding sets out shared intentions rather than confirming that new payment systems are ready for deployment. Decisions about particular services, operating arrangements and their eventual reach will depend on the projects identified during the two-year period.

The agreement follows discussions earlier this year between Senegalese officials and Visa representatives about cooperation on financial technology and digital payments. Those exchanges included proposals for technical workshops to develop a more structured partnership and consideration of ways to support the country's financial technology sector.

Senegal's New Deal Technologique, launched in 2025, provides the policy setting for the collaboration. The programme encompasses digital public services, technological innovation, stronger infrastructure and broader participation in the digital economy. The Visa agreement addresses the payments and public-service components rather than the entire strategy.

Expanding digital transactions also presents practical challenges. Access to suitable devices and reliable connectivity, public confidence in electronic services and safeguards against fraud can affect whether proposed systems reach people who currently rely on cash or have limited access to conventional banking.

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The agreement therefore places emphasis on identifying applications adapted to local conditions instead of prescribing a single payment model. The stated objective is to make interactions with public institutions easier while improving access to financial services through secure digital channels.

No financial value was attached to the memorandum in the announcement. The parties also did not identify government departments that would participate in initial trials or specify whether future systems would use existing payment infrastructure.

The announcement does not specify whether any pilot projects will be undertaken during the first year, how participating agencies might be chosen or what measures would be used to assess results. Those details will be significant when the ministry and Visa determine which proposed applications can proceed beyond exploratory discussions into operational planning.

Visa operates a global payments network connecting consumers, businesses, financial institutions and public bodies. Under the Senegal arrangement, its stated contribution centres on sharing expertise and examining opportunities with the ministry rather than an announced nationwide rollout of new services.

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