MoneyGram (MGI), a leading global money transfer company, and First National Bank (FNB), one of the largest banks in South Africa, have launched their first mobile money transfer service in Africa, giving FNB account holders throughout South Africa provinces the convenient option for sending and receiving international money transfers using their mobile devices.
The service features an advanced data encryption system that protects account holder information. Transactions sent from a mobile device are available for collection within 10 minutes, subject to an agent's hours of operation and local laws and regulations.
"In less than a year into our relationship with FNB, we have extended our product services to offer a mobile service in Africa," said Carl Scheible, MoneyGram executive vice president for Africa and Europe. "This additionally supports our vision of driving convenience and accessibility for our customers. We are committed to using mobile technology that complements and augments our traditional agent locations, both in South Africa and other parts of the world. We believe that with an array of alternative channels in hand, we will cater to the specific needs of a discerning and burgeoning market. Our mobile offering with FNB is yet another option for customers in South Africa to send and receive money."
According to Jacques Celliers, chief executive officer of business banking at FNB, "Our relationship with MoneyGram has enhanced the customer experience by making it easier and more affordable for FNB customers in both customer facing and electronic channels to send money abroad."
Last year, MoneyGram announced an agreement with First National Bank that significantly increased MoneyGram's agent network in South Africa. The relationship solidifies MoneyGram's growing position in South Africa and makes it one of the largest money transfer companies in the region. Adding FNB to its agent network means customers have an additional nearly 1,000 MoneyGram money transfer locations across South Africa from which to send and receive money.
MoneyGram reported strong fourth quarter and full year 2012 performance from its online, kiosk and mobile alliances, including online transaction growth of 58 percent with revenue growth of 23 percent, both of which accelerated greatly from the third quarter.
According to the World Bank, South Africa is the third largest recipient of African migrants in the world, estimated at 1.8 million people. Close to 900,000 South Africans living abroad send money back to their families. Almost 50% of all remittance users remit funds once a month.