Somalia Payment Switch (SPS1) has successfully launched the country’s first-ever Instant Payment System with QR payments support, powered by BPC’s next-generation SmartVista platform, a global leader in payment solutions2.
Championed by the Central Bank of Somalia (CBS), the initiative marks a major step in modernising Somalia’s payment infrastructure, promoting financial inclusion and enhancing economic stability.
While Somalia’s financial sector has grown significantly in recent years, a significant portion of the population remains underserved or unbanked. The demand for secure, fast, and modern payment solutions has been pressing. By introducing the SOMQR standard and establishing the Somalia Payment Switch (SPS) as the scheme manager and operator, CBS aims to reduce reliance on cash, ensure interoperability, and expand financial services nationwide.
Recognizing the need for an advanced digital payment system, SPS selected BPC’s SmartVista platform, a next-generation solution that meets local and international regulatory standards. The platform integrates various components, including an Integration Platform for seamless connectivity, a Participant Portal for real-time transaction monitoring, and a Dispute Portal for efficient case resolution. BPC’s Fraud Management Solution also strengthens security measures, safeguarding transactions from potential threats. Initially deployed in the cloud, the system will transition to a local data centre to enhance resilience and operational stability.
The newly deployed infrastructure enables SPS to process real-time transactions, 24/7/365, with robust security features such as Public Key Infrastructure (PKI) to prevent fraud and unauthorized access. Additionally, integrated settlement and liquidity management solutions, overseen by the Central Bank as the clearing and settlement agent, provide real-time net position updates and multiple settlement cycles, while a national QR payment standard known now as “SOMQR” enables fast contactless transactions with a simple scan.
With the system now operational, Somali consumers can initiate instant transfers from their mobile or banking app and make QR-based payments seamlessly, by entering the recipient’s details and authenticating transactions securely with a PIN or OTP. Merchants present a QR code that consumers scan to route transaction data through the SmartVista Instant Payment system automatically.
Since its launch, seven banks have connected to the Somalia Instant Payment System (SIPS), with six more banks and major mobile money operators expected to join later this year. This expansion will allow seamless transactions between mobile money account holders and bank customers, significantly increasing accessibility and efficiency in the financial ecosystem.
Looking ahead, CBS, in partnership with SPS, aims to develop a resilient, secure, and efficient National Payment Infrastructure that aligns with Somalia’s economic recovery goals and supports international financial integration.
CBS Governor and SPS Chairperson, Abdirahman M. Abdullahi stated: “The launch of SIPS in January 2025 marks a transformative milestone for Somalia’s financial sector. This innovation brings speed and security to daily transactions, empowering businesses and individuals to embrace a cashless economy. BPC has proven to be a reliable technology partner, delivering a robust solution that propels Somalia’s payment ecosystem to a new level.”
Senior Vice President and Chief Commercial Officer at BPC, Angelo Bertini added: “We are honored to support Somalia’s transition toward a fully digital, inclusive financial ecosystem and share our international and local expertise to assist SPS throughout this transformative journey. Providing next-generation technology is vital for enabling safe and efficient payment services. Our future-proof, scalable SmartVista platform is designed to support national projects like this for decades. We look forward to further accelerating Somalia’s digital transformation and expanding the reach of financial services to more people and communities.”
