ACCRA, Ghana, February 12th, 2020,-/African Media Agency (AMA)/- Leading online international money transfer company WorldRemit predicts that 2020 will be the year of intra-African remittances. The World Bank already estimates that migrant workers within Africa send remittances in excess of $14 billion dollars each year, and in 2018 intra-African remittances represented 20% of global remittance flows according to Ecobank Group.
The African Continental Free Trade Area (ACFTA) agreement which promotes intra-African trade and regional integration is fueling intra-continental movement of people. Migrant workers are no longer just traveling to developed nations for work (traditional south to north migration patterns), opportunities lie closer to home. Between 2015 to 2019, Intra-African migrants grew from 16 million to 19 million. During the same period, migration out of the African continent only increased from 16 to 17 million.
This new trend of south to south migration does not change the desire to send money home,
yet the vast majority of remittances are still sent ‘offline’. This informal remittance industry in Africa is estimated to be between two and ten times the size of the formal market.
Money is taken to, and collected from a physical agent which can be inconvenient and usually subject to high fees. Africa has the highest costs for remittances globally, averaging 9% for $200 transaction compared to the global average of 7%. This is far from the UN’s Sustainable Develop-ment Goal (SDG) of 3% by 2030.
However, with over 122 million users of mobile money services in Africa, and smartphone connec-tions forecasted to grow to 636 million in 2022, hitting the SDG is likely to depend on building the right infrastructure to support an increasingly mobile population.
WorldRemit has built an extensive International money transfer service across the continent. Through partnering with mobile money providers, banks and cash pick up locations, such as Vodacom Tanzania, Wizzall of Senegal and Tigo in Ghana. The network and services will continue to grow to meet the increasing needs of hardworking and generous migrants who want a cost ef-fective, convenient and secure way to send money home.
Distributed by African Media Agency (AMA) on behalf of World Remit.
About WorldRemit
WorldRemit is a leading fintech providing international money transfer services. We disrupted an industry previously dominated by offline legacy players by taking international money transfers online – making them safer, faster and lower-cost. We currently send from 50 to 150 countries, op-erate in 6,500 money transfer corridors worldwide and employ over 800 people worldwide.
On the sending side WorldRemit is 100% digital (cashless), increasing convenience and enhancing security. For those receiving money, the company offers a wide range of options including bank deposit, cash collection, mobile airtime top-up and mobile money.
Backed by Accel, TCV and Leapfrog – WorldRemit’s headquarters are in London, UK with a global presence including in the United States, Canada, South Africa, Japan, Singapore, the Philippines, Australia and New Zealand.
For more information visit www.worldremit.com
Press Contact
Genevieve Dowokpor
gdowokpor@worldremit.com
