JMMB Money Transfer Partners with MoneyGram to Introduce Outbound Service
JMMB Money Transfer has delivered on its promise to clients with the introduction of its outbound service, through its latest partnership with MoneyGram.
The agreement between JMMB Group remittance subsidiary, JMMB Money Transfer Limited (JMMBMT) and the global leader in peer-to-peer payments, MoneyGram, will enable clients to send money, within minutes, from Jamaica to more than 200 countries and territories worldwide. Money transfers can be sent from selected JMMB Bank locations in Jamaica, for cash pickup at any MoneyGram location overseas.
This latest move according to JMMB Money Transfer CEO, Sharon Gibson, is in line with its strategic objective. “We are pleased to forge this partnership with MoneyGram, being one of the largest money transfer partners globally, as this will allow us to better serve our clients, by offering them more options and greater convenience. Additionally, as part of our strategic thrust to deepen our payment offerings, we are happy to introduce this option to complement our inbound and intra-island services. We are also seeking to strengthen our presence in the market and bolster our profitability.” While speaking at JMMB Group’s recent AGM, JMMB Group CEO, Keith Duncan, touted the strong growth of the subsidiary noting, “This business line has grown in the past five years,…doubling market share and profitability,” and is on the hunt to hit a J$1 billion profit target in the medium term, having demonstrated a solid track record in the industry.
According to the most recent Bank of Jamaica remittance publication, in August 2023, total outflows stood at US$19.2 million, against total inflows of U$302.6 million. For the corresponding period, August 2022, outflows and inflows were reported as U$$17.5 million and 320.8 million, respectively. Although there was a 6% falloff in remittance inflows over the period, outflows saw a 10% growth year-over-year. With JMMB Money Transfer becoming the latest remittance company to offer an outbound service, the JMMBMT CEO expects to see a further increase in total outflows.
“We’re thrilled to partner with JMMB Money Transfer to connect to our leading money transfer network to provide their customers, with the opportunity to send money to family and friends just about anywhere in the world,” said Karlo Torres, Head of U.S. Outbound/Latin America & Caribbean at MoneyGram. “In recent years, MoneyGram has invested in its digital business, leading to explosive growth in digital partnerships across the world, so we continue to get excited about onboarding new partners seeking to access our global fintech solutions. We’re just getting started, and we’re so excited for what’s to come.”
Expansion Plans
Gibson in giving some insight on what’s next, revealed that as JMMB Money Transfer looks to strengthen ties with MoneyGram in the future, the subsidiary will explore leveraging opportunities to expand its partnership beyond Jamaica.
The JMMBMT exec also outlined that the company will provide new offerings to its clients and explore new markets. “Over the coming months we are looking to introduce our prepaid card, having done a soft launch in September; to give even further value to clients and complement our current service offerings. Clients can look forward to doing more with our suite of payment services, as the JMMBMT prepaid card will facilitate clients receiving funds from overseas in minutes, 24/7.” Additionally, this solution will allow clients to use digital payment services like point-of-sales transactions and online shopping, without the need for a bank account.
During the recent JMMB Group AGM, Duncan also gave a sneak peek to another of JMMB Money Transfer’s service that is set to come on board, following regulatory approval - a cross border service designed to provide faster and more affordable international payments, to address the pain points that small and medium-sized businesses face in conducting these types of transactions. This is expected to be a game changer in the industry, based on the significant value-add it will offer clients.
Sharing more about growth plans, Gibson stated that the company remains open to tapping new markets outside of 160 countries that it currently provides inbound transactions, while still eyeing entry into Trinidad & Tobago and the Dominican Republic markets, two countries in which the JMMB Group already has a presence.
Additionally, “We are looking to deepen our market share through our current international partners in the major source markets, namely: Canada, UK, USA, Cayman Islands, Turks and Caicos and Bahamas; as we see increased opportunities in those markets, with changes in the demographics and migration patterns of Jamaicans.” She underscored the value of partnership as a critical enabler in expanding in new markets, while leveraging synergies and its own network.
Although JMMBMT remains one of the smaller players in the local remittance market, the company has established relationships with thirteen (13) international partners.
The continued expansion of this business line remains central to the Group’s financial inclusion strategy, which aims to increase access to financial services for underserved segments (unbanked and underbanked) of the population. It also forms a key part of the Group’s smart growth strategy as it seeks to utilize capital more efficiently and diversify its revenue streams, but most importantly meets the needs of clients, especially underserved segments such as SMEs and the underbanked.