RemittancesGateway.org

Kenya: M-PESA to Accept Remittances through Alliance with Western Union

Thursday, 31 March 2011 16:48

Source: Ratio magazine (from press release)

Safaricom M-PESA's 13.5m customers can now receive international money transfers from 45 countries and territories thanks to an agreement between Safaricom and Western Union.

Using any of the 80,000 Western Union agent locations across the globe, including the U.S, Canada, Italy and the U.K., customers can simply and conveniently send the money direct to the M-PESA "mobile wallet" of their friends or family members.

This is the largest deal of its kind in the world, no other Kenya operator can receive money from as many countries. The service rides on Western Union's worldwide network for processing cross-border remittances and the unprecedented success of M-PESA; a mobile money transfer service in Kenya offered by Safaricom, which has attracted more than 13.5m customers since its launch in 2007.

The service will be welcomed by thousands of Kenyans working abroad. According to the Central Bank of Kenya, Kenyans living outside their home country sent USD642m home in 2010 – up from the USD609m sent home in 2009.

Speaking at Safaricom headquarters in Nairobi, CEO Bob Collymore said, "Our customers are very proud of the revolutionary M-PESA service, and this partnership sees us pushing new boundaries to continue to keep Kenya at the forefront of the mobile world. Through this partnership, our customers and their friends and families will benefit from affordable, faster and more convenient international remittances, and the money is available to use straightaway for any M-PESA transaction, or can be withdrawn as cash at any of our 24,000 Safaricom agents."

"In the past few months, we have seen impressive adoption of the mobile channel," said David Yates, Executive Vice President and President, Business Development and Innovation, Western Union. "In some cases, with successful mobile wallet programs like M-PESA, we have seen anywhere from 25% to 40% of transactions going to a mobile wallet versus a traditional cash payout. We are pleased to extend our service with Safaricom, and we look forward to adding additional functionality for M-PESA users in the near future.