MoneyGram and GCash strike up a partnership that will greatly improve financial inclusion in the Philippines.
“Financial Inclusion” seems to be the buzz word for businesses involved in various technological innovation these days. More than 2 billion consumers around the world, about half the world’s population, either don’t have access to or don’t use banks for basic financial service.
MoneyGram believes that remittances are an important part of economic development and financial inclusion around the world. They are integral to providing household essentials, education and healthcare. In developing countries, it is considered an integral source of income and inflows from remittances make up a significant percentage of the gross domestic profit. According to the World Bank, the Philippines is the world’s third largest remittances recipient with $32.8 billion inflows in 2017, accounting for 9.9% of the country’s GDP.
Two days ago, MoneyGram and GCash announced their joint effort to bring financial inclusion a reality here in the Philippines. The media event was held at the MoneyGram office located at Trina Place Building in Ermita, Manila with MoneyGram executives Alex Lim (Country Manager of MoneyGram Philippines), Yogesh Sangle (Head of MoneyGram APAC, ME & Southeast Asia) and Michael Minassian (Head of MoneyGram Australia, Oceania, NorthAsia and PH) together with Anthony Thomas, the CEO of Mynt (GCash).
Mobile Money and Remittances
MoneyGram believes mobile money is bringing financial inclusion to millions of people – allowing them to perform financial transactions with a new level of ease and convenience. In countries where there was limited or no access to formal financial services, mobile money has emerged as the primary payments system.
MoneyGram views mobile money as a real opportunity to make international remittances more accessible for millions of people, and is especially important to those customers who live in rural areas that lack easy access to bank locations.
Through the new united system, thousands of GCash users can now receive money from over 200 countries and territories on their mobile wallet and use the funds instantly for purchasing goods and services online.
“We’re excited about our strategic partnership with MoneyGram. Now GCash customers can enjoy the convenience of receiving money from their families abroad directly into their GCash mobile wallet. With these funds they can buy load, pay bills, scan-to-pay using QR codes at the mall and much more. Plus, customers can enjoy exclusive incentives the more funds they receive in their GCash wallet.” said Anthony Thomas, Chief Executive Officer of MYNT.
Between over 30 million active smartphone users and the growing Internet penetration in the Philippines, the collaboration between GCash and MoneyGram is a powerful strategy that aligns with MoneyGram’s goal to offer consumers more digital money transfer options.
The service could be used by anyone – it’s easy, user-friendly and convenient. The ones who will benefit from it immediately are of course GCash users – around 1 million active users currently. But there is an appetite for many more if you look at growing internet penetration in the Philippines and increasing number of active smartphone users that reached 30 million people across the country. This is a convenient solution for people who live in remote, far-flung areas and don’t have an easy access to the financial system. Now, they can receive money directly to their mobile wallet and use it immediately to pay for goods and services – buy load, pay bills, scan-to-pay using QR codes at the mall and much more.
The ultimate benefit of the introduction of digital money transfer channels comes with the opportunity to lower the costs of sending money across the borders. On line transfers are even more convenient and cheaper and enable to include more customers into the banking system.
Yogesh Sangle, Head of Asia Pacific, Middle East and South Asia, explains that MoneyGram’s goal of equitable financial inclusion envisions a world where financial services are not only accessible, but also free or available at minimum cost.
“Aside from convenience, MoneyGram ensures that there is no additional charge to use the service, although a standard charge applies for the transfer of money out of a user’s GCash wallet,” he supplies.
MoneyGram, GCash and OFWs
The MoneyGram services are especially beneficial for OFWs and their families, providing a convenient way to send remittances from all over the world.
According to POEA 2017 data, there are 12 million OFWs spread around the world, many of whom send a significant portion of their salary to their families back home. The partnership with GCash eliminates the need for family members receiving this money to go to a MoneyGram location. They can directly receive any amount on their mobile wallet. What’s more, the money they receive is readily available for purchasing goods and services online.
Providing customers with utmost convenience has always been one of MoneyGram’s thrust for its customers. And with the new partnership, it further reinforces its promise by providing customers access to their remittances, anytime, anywhere. All they need is a simple touch of a button on their GCash app.
Why Go Through MoneyGram To Send and Receive Money via GCash
According to Sangle, what MoneyGram brings into this partnership is a global reach. With over 350,000 agent locations, the company are present in over 200 countries and territories providing customers with an easy, fast and reliable service.
Apart from sending money in person, customers can transfer funds to their families and friends online (from the U.S., the UK, Germany, France and Spain). In most destinations with significant Filipino communities, they can also use an ATM or self-service kiosk to perform a transaction (like at 7/11 stores in Australia). The added value also lies in compliance – MoneyGram have invested in a world-class compliance platform and talented experts to strengthen the integrity of their services and enhance the security of customer transactions.
How The System Works
The only thing that’s needed to use the service is a valid Globe phone number. After completing the KYC process via GCash app, a customer can now use the MoneyGram service. When an OFW sends money somewhere in the world, he or she gets an 8-digit reference number to provide to the person receiving the money. This number must be entered by the receiver in the GCash app so that the transfer could be debited automatically on the wallet.
Great news for first time users! To celebrate the new partnership, MoneyGram and GCash have launched a promotion that will run for 3 months starting March. All new users will receive 200 Pesos for their first transaction with the new MoneyGram service powered by the GCash app. For the second transaction, the receiver will get 50 Pesos for any bill payments to be made via the GCash app. Third transaction will be rewarded with 20 Pesos.
Innovators like MoneyGram and GCash are proof that technology can bring more good to people and that when used properly, can bring progress to everyone.
Latest posts by raindeocampo (see all)
- BDO is the Strongest Bank in the Philippines According to The Asian Banker - December 12, 2019
- HBO and HBO GO Ends 2019 With Non-Stop Blockbuster Entertainment - December 12, 2019
- Julie Anne San Jose is the New Lee Jeans Female Style Icon - December 12, 2019