LAGOS, Nigeria, February 2, 2016 /PRNewswire/ --

Taking center stage today, at Africa's leading Mobile Remittance Event, Mr. Sudhesh Giriyan, COO of Xpress Money discusses the dire need for an open remittance industry, globally. Xpress Money, one of the world's most dependable money transfer brands has been championing this cause for the last few years now.

     (Logo: http://photos.prnewswire.com/prnh/20151023/279887LOGO )

In 2015, approximately $601 billion^[1] was transferred by expats to their families residing in their home countries, at an average transfer fee of 7.37% (Q4 2015)^[2]. This transfer fee stands high against the '5×5' objective that was initiated in 2009 by the G8 countries, to reduce global remittance costs from 10 percent to 5 percent in 5 years. As of December 2015, over 6 years since the decision, the global average cost of sending remittances has reduced merely by over 2.5 percent.

One of the important reasons for this is 'exclusivity' - a hurdle that is rooted within the remittance industry itself. Typically, brands who enjoy the first mover advantage, get into exclusive agreements with an eventual service provider (such as banks, exchange houses, local money transfer companies, retail entities, etc.) restricting it from working with any other brand in the market. 

Hindrances of exclusivity

Higher remittance costs
No scope for competition
Little or no choice to the customer
Rise of illegal channels of money transfer

"A healthy business environment is the need of the hour. One that nurtures competition and does not succumb to a monopolistic way of life," says Sudhesh Giriyan, COO Xpress Money.

Xpress Money has been contributing to this cause in different ways; the most noteworthy being its low remittance costs - 2% as compared to the industry standards of 7.37%. The brand is hopeful that the industry will come together to abolish exclusivity, not only for the industry's sake but the customers at large.

About Xpress Money 

Xpress Money is a global money transfer brand with a thriving presence in more than 150 countries across all continents through 170,000 agent locations. Xpress Money has come to be known as the most dependable international money transfer brand and provides its customers a simple, fast & safe way to transfer money through innovative technology, superior customer service and its extensive worldwide network. For more information, follow us on Facebook: http://www.facebook.com/XpressMoney, Twitter: @Xpress_Money or visit http://www.xpressmoney.com

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1. Migration and Remittances Factbook 2016 - Third Edition

2. https://remittanceprices.worldbank.org/sites/default/files/rpw_report_december_2015.pdf

SOURCE Xpress Money