Ripple partners with Malaysia’s Mobile Money and Bangladesh’s bKash for remittance
Published 15 January 2021
Ripple has signed a deal with Malaysia’s Mobile Money and Bangladesh’s bKash to power a wallet-to-wallet remittance corridor between the two countries.
As a part of the deal, this wallet-to-wallet remittance corridor will use RippleNet, Ripple’s Distributed Ledger Technology-based global payments network, to enable Mobile Money and bKash to offer wallet-to-wallet transactions. Mutual Trust Bank will work as the local banking partner in Bangladesh to perform the remittance settlement, according to company executives.
Kamal Quadir, CEO, bKash, said: “This partnership will bring great convenience to both the recipients and senders, and contribute further to our national economy by encouraging inward foreign remittance flow through legal channels.”
Navin Gupta, MD, South Asia and Mena, Ripple, said: “As Ripple is bolstering our presence in South Asia, we are excited to contribute to the infrastructure of the region to transform the way cross-border payments are executed.”
Bangladesh has the third largest remittance flows in South Asia, with Malaysia ranking as one of the top five sources of remittances for the country.
Countries such as Bangladesh and India have a large number of people working abroad and often remit a significant amount of their earnings back home. This market used to be dominated by the likes of Western Union and others.
In December 2020, Federal Bank entered into a tie-up with OrbitRemit Limited, a money transfer company, to facilitate money transfer from New Zealand to India. OrbitRemit Limited, a leading full-service provider based out of New Zealand, has its presence in other countries like Australia & UK, currently providing remittance services to around 39 countries worldwide.
Nilufer Mullanfiroze, Senior Vice President and Country Head –
Deposits, Cards and Unsecured Lending, Federal Bank had said that Non Resident Indians (NRIs) and small businesses in New Zealand will now enjoy a modern, low cost, fast, easy and more reliable
way of transferring money to India. Federal Bank currently processes more than 17 per cent of the personal inward remittances into India.”