African money transfer firms thrive as pandemic spurs online remittances

Investing.com | Oct 26, 2020 at 1:00 AM
  • Having fled an economic implosion in his native Zimbabwe, Brighton Takawira was able to support his mother back home with modest earnings from a small perfume business he set up in South Africa.
  • This is fuelling a boom for Africa-focused money transfer companies, despite predictions from the World Bank of a historic 20% drop to $445 billion in remittances to poorer countries this year due to a pandemic-induced global economic slump.
  • The pandemic gave remittance companies an advantage over their main competition in Africa: the sprawling informal networks of traders, bus drivers and travellers used by many migrants to send money home.