How Open Source is Powering Financial Inclusion through eKash

Open source-based instant payment systems are crucial to achieving financial inclusion for the underserved in emerging economies. Financial inclusion is a major goal for many economies, especially in developing markets where access to traditional banking services remains limited. Mobile money services have bridged this gap, but the lack of interoperability between providers has often led to inefficiencies and high transaction costs. This is where open-source software designed for inclusive instant payment systems (IIPS) steps in — offering a standardized, open-source solution that enables seamless financial transactions across different service providers, banks, and payment networks. A prime example of open source’s impact can be seen in its role in powering Rwanda’s National Digital Payment System (RNDPS) 2.0 — known to end users as eKash. 

How Open Source is Transforming eKash 

Rwanda’s eKash initiative sought to create a national interoperable payment system that connects disparate financial service providers, ensuring that users can transfer funds easily and affordably. Open source software designed for IIPS has enabled eKash to facilitate transactions between Rwanda’s leading mobile money providers, making digital payments more accessible to the unbanked and underbanked populations. 

Beyond person-to-person (P2P) transfers, eKash has integrated banks, savings and credit cooperatives (SACCOS), merchants, and government services. This expansion opens up avenues for: 

• Person-to-business (P2B) transfers, such as paying utility bills. 

• Government-to-person (G2P) payments, such as social welfare disbursements. 

• Business-to-business (B2B) transactions, enabling smoother trade settlements. 

• Merchant payments, allowing small businesses to accept digital payments with ease. 

A Model for Other Nations 

The success of eKash demonstrates how open source digital public goods (DPGs) can transform financial ecosystems. Rwanda’s approach serves as a model for other countries aiming to implement inclusive digital payment solutions. By leveraging open source technology, governments and financial institutions can build scalable and cost-effective systems that drive financial inclusion. 

Integrating open source software into eKash has proven to be a game changer for Rwanda’s digital finance sector. By enabling interoperability and reducing transaction costs, open source software is not only powering eKash but also paving the way for broader financial inclusion initiatives. As more countries explore similar models, the potential for a truly interconnected global financial system becomes tangible.