remittances - a new perspective -
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Remittances - a new perspective - . June 2011. Agenda. About…. An international remittance is a cross-border, person-to-person payment of relatively low value The World Bank. Typically by migrant workers to their families. Especially from developed to developing countries - PowerPoint PPT PresentationTRANSCRIPT
Remittances- a new perspective - June 2011
Agenda
Remittances - a new perspective
Setting up the scene
Allevo’s approach
1
2
3
About…
Remittances - a new perspective
Typically by migrant workers to their families. Especially from developed to developing countries
Person-to person, low value – i.e. not commercial or wholesale payments
Domestic remittances also exist Recurrent - but typically made by individual transfers (e.g. not by
standing order) Typically credit transfers For remittance service providers (RSPs), often indistinguishable
from any other retail cross-border transfers
An international remittance is a cross-border, person-to-person payment
of relatively low valueThe World Bank
Facts & Figures
Remittances - a new perspective
Worldwide
remittances totaled $440 billion in 2010 involved some 250 million migrants or 3.2% of
world population annual transactions: 1 to 1.5 billion average transaction value: +/-$ 300
Facts & Figures
Remittances - a new perspective
EMIGRATION, 2010 ■ Stock of emigrants: 2,769.4 thousands ■ Stock of emigrants as percentage of population: 13.1% ■ Top destination countries: Italy, Spain, Hungary, Israel, the United States, Germany, Canada, Austria, France, the United Kingdom
IMMIGRATION, 2010 ■ Stock of immigrants: 132.8 thousands ■ Stock of immigrants as percentage of population: 0.6% ■ Top source countries: Moldova, Bulgaria, Ukraine, the Russian Federation, the Syrian Arab Republic, Hungary, Greece, Turkey, Italy, Germany
Romania inward remittances flow totaled $4,5 billion in 2010 outward remittances flow totaled $310 million in 2009
How it works now …
Remittances - a new perspective
Sender/remitter
Beneficiary/ Receiver
Sending Agent
Disbursing Agent
MTO Country A
MTO Country B
Debiting Bank
Crediting Bank
Mes
sage
Holds funds
Liquidityprovision
Proprietary network
Correspondents bank system
(balance accounts)Transactions
database
How it could work …
Remittances - a new perspective
Sender/remitter
Beneficiary/ Receiver
Debiting Bank
Crediting Bank
Mes
sage
Collection channels
Distribution channels
SWIFT network
Focus on…
Remittances - a new perspective
Collection /Distribution Channel agents, mobile, ATM, online …Market environment regulatory environmentOther players (exclusivities)Compliance (AML/KYC)Marketing strategies
The challenge is to reach the rural areas
Agenda
Remittances - a new perspective
Setting up the scene
Allevo’s approach
1
2
Allevo’s approach
Remittances - a new perspective
ParticipantBank 2
Agent/Branch Funds
distribution
Statuses
SWIFTNet
WR pacs:008 - payment instr. 004 - return002 - status
Participant Bank 1
qPay
Inte
grat
or
qPI-
FOC
lien
t
Mobile Operator
Collections Channels
qPI-
FO