Vodacom, WorldRemit launch mobile money transfers to M-Pesa Tanzania

Vodacom, WorldRemit launch mobile money transfers to M-Pesa Tanzania

WorldRemit, a leading digital money transfer service, has partnered with Vodacom Tanzania to enable nine million M-Pesa customers to receive money directly to their M-Pesa wallets from friends and family living abroad.

The new service increases convenience for money transfer
recipients in urban and rural areas of Tanzania as they can receive
international money transfers directly to their phones, without the need for a
bank account or internet connection.

Using the WorldRemit app, Tanzanians living abroad in over
50 countries, including the US, UK and Canada, can send money home 24/7 in just
a few taps. This saves customers time and money as they do not have to travel
to a traditional money transfer agent and pay expensive fees to send money home
in cash.

WorldRemit is a global leader in international transfers to
mobile money accounts and is connected to over 190 million accounts across 30
countries.

Epimack Mbeteni, Vodacom Tanzania M-Pesa Director, said:
“This new partnership with WorldRemit enables us to tap into their global
payments network, and help customers receive remittances into Tanzania from
more countries around the world. It will enable families and friends in the
country to conveniently receive money through M-Pesa from across the world.
This is just one more way we are making our customers’ lives easier.

“Once the money is in their M-Pesa accounts, recipients can
use it for development and other economic activities such as savings and loans,
overdraft services, group savings, e-payments and many more services offered by
Vodacom. We have an extensive footprint of over 106,000 M-Pesa agents across
the country, as well as a diverse ecosystem of banks, businesses and merchants
connected to M-Pesa.”

Cynthia Ponera, Country Manager for Tanzania at WorldRemit,
said: “Our money transfer service to Tanzania is growing by over 100%
year-over-year, and mobile money is the most popular way for our customers to
send money to the country.

“We are delighted to partner with Vodacom to further expand
our network and connect over nine million M-Pesa customers to our award-winning
money transfer service. Our partnership will drive down the cost of sending
money to Tanzania and enable recipients in some of the most remote locations to
receive money from abroad in seconds.”

According to the World Bank migrants from Sub-Saharan Africa
sent $46 billion back home in 2018, a growth of 10% compared to the previous
year.

Money sent back to families contributes to the sustainable
growth of Tanzania’s economy, and is used for family essentials, such as
healthcare, education and bills, as well as savings, investments and business
ventures.

The majority of money transfers to Tanzania are sent through
banks, which often charge high fees and can take several days to process
payments.

As WorldRemit does not have to pay charges associated with
agent locations in sending countries, the company can pass these savings on to
customers. According to the World Bank, the average cost of sending £120 ($155)
from the UK to Tanzania is almost 9.5%.

WorldRemit fees for the same amount start below 2%. The
company is also currently offering customers zero fees on their first three
transfers if they use the code 3FREE when making payment.

In addition to its mobile money service, the company also
offers bank transfer, cash pickup and mobile airtime top-up to Tanzania.