Yesterday marked The International Day of Family Remittances (IDFR) – a universally-recognised observance adopted by the United Nations. The main goal of the day is to recognise the contribution of over 200 million migrants to improve the lives of their 800 million family members back home; these are the migrants our business serves and our mission of making it super easy for people to send money online worldwide.
As we all know, this year has been like no other and the remittances industry has been impacted heavily – the World Bank has projected a sizeable 20% decline in global remittances due to the Covid-19 global pandemic. In monetary terms, this represents a fall by US$110 billion in 2020. It is now more important than ever to recognise the key role family remittances play on the wellbeing of millions of families and on the sustainable development of their local communities.
The Day calls upon governments, private sector entities, as well as the civil society, to find ways that can maximise the impact of remittances. The most common sense way is to make remittance fees more reasonable and less expensive, especially for the most needy corridors. One of our core values is being FAIR – this is especially relevant to our customers by ensuring a Fair fees structure – by creating a strictly Digital Money Transfer company we are able to keep costs to a minimum and ensure we offer the most competitive pricing for our customers.
According to the World Bank’s Remittance Prices Worldwide database, the global average cost of sending $200 remained high, at around 7 percent. Reducing remittance costs to 3 percent by 2030 is a global target under the UN’s Sustainable Development Goals….here at PayQuik, our average fees across all markets currently stands at around 3% now! What’s more, the widespread usage of mobile money wallets has created greater financial inclusion through remittances – another one of the Development Goals.