Digital money transfers are known as one of the most effective surveillance solutions, with the potential to bring about fruitful changes in the global economy. The majority of remittances are attributed to developed countries, many of which lack the technology to help people with low spending through digital remittances. The demand for digital remittances is expected to increase during the forecast period as a result of the growing need for reliable, flexible, and faster cross-border transactions. Remittances have always been expensive because of inefficiencies and threats in capital management and inefficiencies in transfers. However, owing to influencing role of digital transformation there is a direct and clear link to making money more accessible to people across borders, an also reducing poverty rates across the globe.
Recently, in Feb, 2021, the leading money remittance service provider, International Money Express, Inc. stated that its digital services co-brand that was marketed by Amigo Paisano, saw an impressive three-fold increase in remittances in 2020. Although Amigo’s Paisano base country is, Guatemala, they also offer the possibility to send money to 17 other LATAM countries. Amigo Paisano develops exclusive and profitable marketing programs to reach and develop digital money transfer services using the brand’s digital intermex software, software, delivery systems, quality control and in the LATAM countries where Intermex functions.
The global digital remittance market is broadly diversified based on its remittance channel, type, and end-user, and region. The global market for digital remittance is also bifurcated by its type into inward and outward. The global digital remittance market on the basis of, channel, is categorized into banks, online platforms, and money transfer operators. Based on end user, the global market is diversified into individual/personal, migrant labor workforce, and businesses.
North America has the largest share of the global digital remittance market, mainly owing increasing transactions made by immigrants who have settled to work, business, and study, and so on. While Europe and Asia-Pacific region due to the growing expansion of online transactions during the pandemic. Increased mobile payments and innovation of pioneering technologies that make online transactions more safe and convenient is set to increase the growth of the global remittance market.
The global players contributing in the digital remittance market include Ripple, InstaReM, TransferWise Ltd.Flywire, Western Union (WU), SingX Pte Ltd., Ria Financial Outward Remittance, WorldRemit Ltd., Remitly, Inc., MoneyGram, Azimo Limited, and TNG Wallet. Digital transformation is driving the global finance market towards the peak. Moreover, key players are focused on acquisitions and mergers to reap maximum advantages in the technological boom in terms of digital remittances.