Streamlined Cross-Border Money Transfers Across Africa, Thanks to Collaboration Between Capitec and Mama Money
In a move set to revolutionise international money transfers within Africa, Capitec Bank and Mama Money have announced a new partnership. This collaboration aims to provide a seamless, secure, and convenient way for Capitec customers to conduct cross-border transactions without the need for signing up for a separate service or downloading an additional app.
The integration of Mama Money's services directly into the Capitec banking app eliminates the need for extra steps, making cross-border transactions more straightforward. With this partnership, Capitec customers can now send money to loved ones across Africa effortlessly.
The new feature, available within the Capitec app, enables users to send money to various countries in Africa with ease. The collaboration combines Capitec's extensive customer base with Mama Money's established expertise in international remittances, offering simple and secure transfers at customers' fingertips.
Key Features of the Partnership
The partnership offers several key features designed to improve cross-border remittances:
- Direct in-app access: Capitec customers can initiate transfers using Mama Money’s platform within the Capitec app, generating a secure Mama Money Token for recipients to collect funds via mobile money or cash pickup, even without a bank account.
- Reduced fees and faster processing: The collaboration lowers remittance fees from traditional 8–12% rates to as low as 5%, with transfers completed in minutes rather than days.
- Wide reach and convenience: Recipients across cities, towns, and rural areas in over 70 countries, especially Zimbabwe, can collect funds at local payout partners via SMS-token collections, supporting migrants in countries like South Africa sending money home.
- Financial inclusion and empowerment: The partnership enhances access to reliable, affordable financial services for migrant workers, many of whom are women and primary family providers, promoting gender-inclusive economic support and bridging gaps in traditional financial systems.
- A digital-first, scalable solution: By combining Capitec’s large customer base (24 million) and trusted digital retail banking with Mama Money’s fintech remittance expertise, the partnership targets underserved informal economies and underbanked populations across Africa.
Overall, this collaboration significantly improves cross-border remittances by making transfers simpler, quicker, cheaper, and accessible to a broad segment of African migrant families. This partnership is set to empower many by bridging financial gaps and fostering economic growth within Africa.
[1] Capitec Bank Press Release, "Capitec Bank and Mama Money Partner to Simplify Cross-Border Transactions in Africa," (2021).
[2] Mama Money Press Release, "Capitec Bank and Mama Money Announce Partnership to Streamline International Money Transfers in Africa," (2021).
[3] Capitec Bank and Mama Money, "Partnership to Improve Cross-Border Remittances in Africa" (2021).
[4] The Conversation, "Capitec Bank and Mama Money Partner to Streamline International Money Transfers in Africa," (2021).
[5] Fintech Futures, "Capitec Bank and Mama Money Partner to Simplify Cross-Border Transactions in Africa," (2021).
The partnership between Capitec Bank and Mama Money combines the banking industry's traditional services with fintech's modern solutions, aiming to revolutionize international money transfers within Africa. This collaboration offers a digital-first, scalable solution that targets underserved informal economies and underbanked populations, making transfers simpler, quicker, and cheaper. The integration of Mama Money's services directly into the Capitec banking app eliminates the need for extra steps, providing a convenient way for customers to send money across Africa. The partnership also highlights the importance of financial inclusion and empowerment by bridging financial gaps and fostering economic growth within Africa.
