Western Union, MTN Group Sign Agreement To Introduce Cross-Border Mobile Money Transfer Service In 21 Countries

MTN Group, (JSE: MTN), the leading mobile operator in Africa and the Middle East, and Western Union, (NYSE: WU) a leader in global payment services, today announced a commercial agreement to introduce international mobile remittance services in the 21 countries where MTN operates.

Once introduced, the service will allow MTN subscribers to conveniently send and receive Western Union Money Transfer® transactions using their MTN MobileMoney accounts.

The service will first be introduced in Uganda, where MTN’s MobileMoney service already boasts over 1 million registered users, making it one of the most successful mobile wallet deployments in the world. According to the World Bank, Uganda receives nearly US$500 million in remittances every year, making up 3% of the country’s GDP.

Once the new international remittance service is activated, MTN subscribers registered for MobileMoney will be able to receive Western Union Money Transfer transactions in their mobile accounts. In addition, MobileMoney users in certain countries will be able to send Western Union Money Transfer transactions directly from their mobile phones for payout at one of Western Union’s 386,000 Agent locations in 200 countries and territories around the world.

An MTN subscriber who receives a Western Union Money Transfer transaction in his MobileMoney account will be able to use the funds to pay bills, top-up airtime, send money domestically and internationally, or withdraw cash at MobileMoney Agents or any participating ATM.

“The Western Union Mobile Money Transfer service is a key part of our multi-channel strategy to offer our consumers numerous ways to send and receive money,” said Khalid Fellahi, Western Union’s Head of Mobile Transaction Services. “This alliance with MTN – one of the world’s most successful mobile operators – will introduce cross-border remittances to an entirely new segment of customers by allowing them to send and receive money using just their mobile phones.”