Money transfer companies in kenya: Why are remittances to Africa still expensive?

These are funds sent by an expatriate or immigrant to his country of origin. He can use mail, online or wire transfer to send the cash. Remittances promote economic development, and in some countries, they act as essential disaster relief aid that exceeds the ODA. The money also helps less developed countries to open bank accounts. The process of remitting cash to these countries is entrusted to specific money transfer companies though users can do it using their phones, credit cards and other channels. It is crucial for the sender to use channels that reduce the waiting time for the recipient, which is also referred to as the remittance float. It is the time taken for the recipient to receive the cash. For example, if an immigrant is sending a cheque to his parent, child or significant other via mail, the time taken to send, present it to the bank and deposit the money to the beneficiary’s account is the remittance float. Senders can reduce the remittance float as much as possible by using the fastest means of making the transfer. Mobile money remittances have made this process easier as the recipient receives the cash instantly. Then it’s just a matter of choice of the most suitable international money transfer apps .

Leave a Reply

Your email address will not be published. Required fields are marked *