PayPal has launched an affordable way to send money to mobile wallets in African markets.
Sending money across the world has become a lot easier especially now that there are upcoming markets that will appreciate this financial inclusion. Current statistics show that 60% of adults in Ghana, Kenya and Zimbabwe have mobile money accounts.
In case you haven’t used PayPal money transfer before it is a American company operating a worldwide online payments system that supports online money transfers and serves as an electronic alternative to traditional paper methods like checks and money orders.
How will they help bring down the cost?
Julian King, Vice President and General Manager, Xoom said:
“Sending money to Africa through traditional channels is expensive with an average cost of 9.3 per cent. We want to help bring down the cost and speed up the process to boost financial inclusion. There is nowhere else in the world that moves more money on mobile phones than Sub-Saharan Africa.”
The transaction cost will reduce drastically from 9% to 2-4 percent of the transaction. This will save people a lot of time as this will mean that people will not have get through the countless of paperwork, high fees and standing in line.
According to Xoom, they aim to provide fast and secure payment options for customers. This will let them seamlessly send money across borders by going online or using a mobile device. They both want to expand and improve the financial health of millions of people worldwide.