Mama Money, AFC boostmoney transfer to Zim

BUSINESS REPORTER

 

Fintech concern Mama Money has partnered with AFC Commercial Bank for the transfer of money from South Africa in a major boost for remittances flows to Zimbabwe.

The partnership allows Mama Money customers to send money to any AFC Commercial Bank branch for cash collection at 45 locations across Zimbabwe.  It is estimated that remittance flows from South Africa to Zimbabwe is about US$60m monthly through formal and informal channels and accounts for over 10% of the country’s GDP, according to the World Bank.

But the cost of sending money to Zimbabwe can significantly reduce the impact that remittances have as these funds are predominantly used for critical needs such as school fees, healthcare, and housing.

In 2015 the average cost of sending money from South Africa was 14%.

Today, the average cost of sending money from South Africa to Zimbabwe is 7%, which is much closer to the worldwide average of 6%.

Nicolas Vonthron, Mama Money CEO, said: “We have made a lot of progress in bringing down the cost of money transfers, but there is still more we can do to support the Zimbabwean community in South Africa. We want to reduce the cost even further and offer a reliable service. Our partnership with AFC Commercial Bank will help us achieve this and we’re extremely excited to see the impact this will have for people who need an easier way to send money to Zimbabwe.”

AFC Commercial Bank MD Ken Chitando said: “We are confident that this relationship will add convenience to all our customers as we expand our financial services countrywide,” Chitando said.

Mama Money is one of the fastest-growing money transfer operators with over 720,000 users.

It facilitates money transfers to over 50 countries across Africa, Asia and Europe.

Related Articles

Leave a Reply

Back to top button