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Ambrose Ogbonna Oloveze1
, Charles C. Ollawa1, Kelvin Chukwuoyims2
and Victoria Ogwu Onya2
1 Department of Marketing, Michael Okpara University of Agriculture, Umudike, Abia State, Nigeria
2 Department of Business Administration, Alex Ekwueme Federal University Ndufu-Alike Ikwo, Ebonyi State, Nigeria
Creative Commons Non Commercial CC BY-NC: This article is distributed under the terms of the Creative Commons Attribution-NonCommercial 4.0 License (http://www.creativecommons.org/licenses/by-nc/4.0/) which permits non-Commercial use, reproduction and distribution of the work without further permission provided the original work is attributed.
The purpose of the study is to evaluate micro, small and medium enterprises’ (MSMEs) reaction to the pan-African payment and settlement system (PAPSS). The new cross-border e-payment technology is designed to facilitate cross- border instant payments, motivate cross-border businesses and promote sub-Saharan African trades which have been a real problem following the involvement of third currency, untimely payment and regulations that impact payments across borders. The study is important because of the non-existence of empirical results on what motivates MSMEs’ intention to use it and how the experience might impact the intention to use PAPSS. Thus, the study considered the impact of MSMEs’ previous experience on e-payment as a moderating influence on intention to use PAPSS. An adapted questionnaire that was structured on 7-point Likert scale was used in the survey to collect data from MSMEs in Nigeria. Structural equation modelling and the Hayes process for moderation were used in the analysis. The authors learned that ease of use is the strongest indirect determinant of intention to use PAPSS while perceived compatibility is the strongest direct determinant of intention to use PAPSS. Further, the authors discovered the important role of the simplicity of the innovation and its compatibility with users’ characteristics in promoting intention to use. The level of experience is confirmed to be significant in moderating intention to use PAPSS. Therefore, deeper involvement of the apex banks and commercial banks in communicating simplicity is paramount to achieve significant progress, while the services of tech experts and professionals can be utilised to provide periodic information to business owners through organised TV and radio programmes. Notably, this is a novel study that focuses on new cross-border payments in sub-Saharan Africa.
E-payment, PAPSS, intention to use, MSME, cross-border payment, sub-Saharan Africa
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