Safaricom M-Pesa transfers across borders reach KES 17 bln

The value of cross-border Safaricom M-Pesa transactions has reached KES 17 billion, four years since the service was introduced, Business Daily reported. The Kenyan operator inked its first international mobile money transfer agreement with the Western Union in 2011. This was followed by one with Money Gram in 2014. Regionally, Safaricomlaunched M-Pesa cross-border services in Tanzania in February 2015.

This was followed by a similar launch in Rwanda in May and another inUganda in December. Safaricoms director for financial services,  Betty Mwangi-Thu , said the KES 17 billion figure is for both inbound and outbound transactions. A Central Bank of Kenya cash remittance operating licence in 2014 opened the door for M-Pesa to facilitate outwards cash transfers. Before that, Safaricom's cross-border operations had been restricted to cash inflows only.

Under the cross-border M-Pesa service, the minimum amount one is able to send is KES 100, while the maximum per transaction is KES 70,000, with a total daily limit of KES 140,000. The cost of international remittances through traditional channels like banks or money transfer operators can be up to 31 percent of the transaction, depending on the service provider.

SOURCE:4-TRADERS