Bank Remittance the Costliest: World Bank

According to the latest issue of Remittance Prices Worldwide, a World Bank report, bank remittance are the costliest as compared to other remittance service providers (RSP).

They cost an average of 10.53% to send remittances worldwide. This is notably higher than the average cost of sending remittances of 7.01%.

Average Remittance Cost of Remittance Service Providers in Quarter 4 of 2018.
Average Remittance Cost by RSP Type
Source: Remittance Prices Worldwide – Issue 28

Mobile Operators remain the cheapest option to fund the remittances and to disburse remittances to the receiver. The cost of funding a remittance through a mobile operator averaged to 4.93% as compared to banks that average a cost of 7.11%.

Average Cost of Funding Remittances in Quarter 4 of 2018
Average Cost of Funding Remittances
Source: Remittance Prices Worldwide – Issue 28

Sending bank remittance to another bank account is the costliest option, according the report. It costs an average of 7.5%. Whereas, on the other hand, sending funds to a mobile wallet costs an average of 6.17%.

Average Cost of Disbursing Remittances
Source: Remittance Prices Worldwide – Issue 28

Read the complete report here: Remittance Prices Worldwide – Issue 28, December 2018.

Going Live.

For years I have been thinking of setting up a dedicated website related to the statistics and data related to remittance in the money transfer space.

Just early in January, I had put the website up with relevant content, but then accidentally deleted the data. So, here is another attempt to publish the website.

The need for such a website comes from the fact, that when we talk about statistics and/or data related to remittances, there are very few sources and much of it is scattered around as newspaper articles, etc.

Hopefully, with the newsfeed that I have access to, I will be able to curate and collate all the data in a centralized manner on this website.

Stay tuned. Exciting times ahead.

Faisal Khan.