INTERVIEW: WorldRemit driving financial inclusion to households in Uganda through digital and mobile wallet money remittances. 

WorldRemit a global payments company with Sendwave, part of Zepz, a group powering two global payments brands, disrupted an industry previously dominated by offline legacy players by taking international money transfers online – making them safer, faster and lower-cost. 

Below is a Q and A interview with the Ivan Kanyali, WorldRemit Country Lead in Uganda:

1. What is the percentage of Uganda’s remittances on the global scale?
The total value of personal remittances received by people in Uganda was $1.05 billion in 2020 according to the World Bank.1 This is against a global total of $648.64 billion.2 Therefore, the inflow of remittances to Uganda from other countries represents 0.16% of the global total. Meanwhile, the value of remittances paid from Uganda was $418.07 million in the same period, accounting for 0.1% of the global total.3

2. From which countries do Uganda’s remittances originate the most?
As of 2018, Europe accounted for 31% (or $414 million) of the remittances into Uganda with the UK contributing the largest share ($304 million) of the volumes from the region, followed by Sweden ($13.1 million) and Germany ($8.3 million).4 The Middle East, led by the UAE, contributed 23% of Uganda’s remittance inflows. North and South America, led by the USA, sent $302.6 million or 22% of the remittances into Uganda5. Other African countries remitted $263.5 million or 20% of the total inflows into Uganda6.

3. How would you rate the WorldRemit impact in Uganda?
WorldRemit’s presence in Uganda has been impactful, firstly by bringing the convenience of remittance technology to the hands of the country’s citizens at a crucial time when we are seeing a shift to digital and mobile first. Leaning into Uganda’s National Financial Inclusion Strategy7 rolled out for the 2017-2022 period, which aims to raise access to financial services beyond the country’s 11% bank account holders, WorldRemit offers a safe, affordable and convenient money transfer solution to meet the needs of families and small businesses receiving money from abroad.
Additionally, WorldRemit services have improved access to receive remittances sent from all over the world as any of the 30 million mobile money customers8 in the country can instantly access money or mobile airtime top up from the convenience of their home through our digital platforms. 
Finally, WorldRemit offers affordability. Remittances flow directly to the families of migrants, with 30% of households in 2018 receiving money into a mobile wallet,9  arguably making cross-border remittances an impactful driver for financial inclusion. 

4. What new technologies are in place to ensure efficient transfers?
Building on the country’s fast adoption of mobile technology, WorldRemit partnered early on with major mobile money providers, opening the gates of mobile-based cross border remittances to a wider population.  
WorldRemit has leveraged interoperability between the different payment channels to enter partnership deals that make it easier and more efficient for remittance beneficiaries to receive cash in-person from local agents and banks. 
Equally, WorldRemit continuously invests in innovative encryption technologies for its networks to ensure end-to-end security for transfers made through the WorldRemit mobile app and website. 
The constant technological breakthrough, coupled with established partnerships with mobile money providers and banks or other cashpoint services, allow for transfers from 50 countries to recipients 130 countries,10 effectively increasing the ease and speed of international remittances.

5. What have been the challenges in the sub-Saharan region and Uganda in particular?
Initially, infrastructural development, which is especially limited in rural areas where 75% of the population lives, poses a challenge for international payments companies like WorldRemit. However, in Uganda, both mobile and internet penetration have been on a growth trajectory,11 which has enabled  us to extend our networks into the most remote parts of the country. Mobile money, and the soaring financial services in the form of remittances have spiked Uganda’s financial inclusion rate to 78%.12 
When the Covid-19 pandemic forced the country to lockdown, the volume of cross-border money transfer transactions dropped. However, despite grim projections, the financial sector in Uganda remained resilient.. According to the Bank of Uganda, the country saw an increased usage of digital channels across the board, including cross border remittances.
Another challenge in the region has been to create trust, which is built on three principles: reliability, fairness and speed.WorldRemit works towards being the go-to global payments company for our customers in Uganda. We make it our business to know our customers and understand their needs. 

6. What plans do you have for this year, and do you have a programme for the rural communities in place?
Rural communities are important to our business and our plan is to ensure that each and everyone has access to WorldRemit’s affordable and secure remittance services. We will continue to extend our network with reputable partners in a bid to reach every corner of Uganda. Meanwhile, we are also continuously advancing the technology of our networks, so as to continue guaranteeing fast, safe and secure remittance services.
WorldRemit background: 
World remit is a leading global payments company and, along with Sendwave, part of Zepz, a group powering two global payments brands.

They disrupted an industry previously dominated by offline legacy players by taking international money transfers online - making them safer, faster and lower-cost.  Currently sends from 50 countries to recipients in 130 countries, operate in more than 5,000 money transfer corridors worldwide and employ over 1,200 people globally.

On the sending side WorldRemit is 100% digital (cashless), increasing convenience and enhancing security. For those receiving money, the company offers a wide range of options including bank deposit, cash collection, mobile airtime top-up and mobile money.

Backed by Accel, TCV and Leapfrog – WorldRemit’s headquarters are in London, United Kingdom with regional offices in the United States, Poland, Canada, Australia, Hong Kong, Singapore, Malaysia, the Philippines, South Africa, Somaliland, Uganda, Kenya, Rwanda, Tanzania, Zimbabwe and Belgium.
www.worldremit.com