More people worldwide will be able to transfer funds to users of the mobile money transfer service M-Pesa due to a new partnership with Vodafone and Moneygram.
The agreement between the two companies will allow MoneyGram customers in roughly 200 countries to transfer funds to M-Pesa users. Customers will be able to send money via MoneyGram's website or mobile app, or through in-person transactions with a MoneyGram agent. The companies will begin rolling out the new service in the second quarter.
M-Pesa, offered by Vodafone and Safaricom as a banking alternative for people without access to traditional financial institutions, is currently available in the Democratic Republic of Congo, Egypt, Fiji, India, Kenya, Lesotho, Mozambique, South Africa and Tanzania. Additional countries plan to begin offering M-Pesa in 2014. Vodafone owns a 40% stake in Safarciom.
"There is huge demand for sending funds back to family and friends in your home market and an estimated $90 billion per year is transferred to M-Pesa markets from around the globe," Vodafone Director Michael Joseph said in a Feb. 11 press release. "Our partnership with MoneyGram provides the most extensive global network and greatest number of access points for consumers wishing to transfer funds to M-Pesa users."