CUT

WorldRemit lowers transaction cost for remittances to Africa

Over 450 global corridors have been repriced in the 'Black Friday' drive

In Summary

•The price drop represents the largest pricing reduction in terms of the number of corridors for the business.

•Managment says the initiative will ensure customers are able to access value even as Covid-19 has financially affected those in both the diaspora and at home.

A customer uses the WorldRemit Application/BRIAN OTIENO
A customer uses the WorldRemit Application/BRIAN OTIENO

Global digital payments company–WorldRemit has launch new prices for international transfers in over 450 of its larger corridors in Africa.

The new lowered prices, allows customers to send more to family and friends via the mobile app or website to the various African corridors, where Kenya remains a key destination for remittances.

This price drop represents the largest pricing reduction in terms of the number of corridors for the business.

The new prices are in line with WorldRemit’s commitment to supporting remittance flows across Africa and helping the diaspora community to supplement and support family and friends back home, management has said.

Diaspora remittances to Sub-Saharan Africa in 2019 totaled $48 billion (Sh5.28 trillion), World Bank data shows.

Kenyans living abroad have this year sent Sh329.5 billion in 12 months to October according to the Central Bank of Kenya(CBK)

October remittances were recorded at $263.1 million ( aboutSh28.8 billion), an increase from the previous months $260.7 billion(Sh28.6 billion), as the diaspora community continued to play a critical role in cushioning the local economy and households from Covid-19 shocks.

Through its innovative service offering, WorldRemit customers have been able to support family and friends with essentials, medical and educational needs, notes Sharon Kinyanjui, WorldRemit managing director for the Middle East and Africa and head of East and Central Africa.

“This initiative will ensure customers are able to access value even as Covid-19 has financially affected those in both the diaspora and at home,” she said.

Sam Talukdar, director of pricing at WorldRemit said: One of our goals is to accelerate financial inclusion by reducing transaction costs to Sub-Saharan Africa, which remains the most expensive region for remittances.”

In the last 12 months, the company has witnessed a strong uptick in new customers using its platform, which in turn has helped to drive down our overall costs, Talukdar said.

We are committed to making remittances more affordable, so we have shared our savings with our customers, allowing them to send more money for less,” he added.

The global payments company enables senders in 50 countries to send money via its app or website to recipients in over 150 countries, where they can choose from multiple payout methods including bank deposits, Mobile Money, mobile airtime top-up, and cash pick-up.

To access the new prices, customers will need to visit the company's or download the WorldRemit app from Google Play or the App Store and use the transferring calculator to see how much can be saved.

Existing customers will need to update the latest version of the app to benefit from the new prices.

Customers will instantly benefit from the savings directly or can choose to include the savings to the funds of their loved ones, the firm notes.