Singapore: NASDAQ-listed MoneyGram is ready to handle remittances through electronic modes in India as soon as the government allows such transactions through a series of electronic modes such as online, ATM and phone banking.
"As a company, technologically, we are prepared," Ananth Srivatsa, MoneyGram's senior marketing director for the Middle East, Asia Pacific and South Asia, told PTI.
It would happen when the government allows transactions to be managed through a series of electronic modes such as online, Automated Teller Machines (ATM) and phone banking, he pointed out.
MoneyGram is exploring more expansion opportunities in India from its current network of over 53,000 service locations through partnerships with banks, financial institutions and India Post, added Yogesh Sangle, senior regional director for Asia at the global remittance group.
"One of the concerns is the remittance cost of about 8.5 percent but our cost is almost half of that. We believe we give them an international product with 10 minute money transfer," said Sangle.
Citing World Bank statistics, Sangle stressed the importance of India as a leading market for MoneyGram.
In 2013, India received USD 70 billion in remittances topping the list in Asia, followed by China at USD 59 billion and the Philippines at USD 27 billion, according to the World Bank data.
Total worldwide remittance was USD 550 billion in that year.
"There are huge opportunities for us to do more in India. It has been a cash market but we are now focusing on the government's move to have more and more people open bank accounts.
"A lot of people are opening bank accounts - we are focusing on remitting money to bank accounts of our customers," Srivatsa elaborated.
The top countries sending money into India are those in North America, the Middle East, the UK and Europe, according to the two MoneyGram executives.
"There are lots of cross border remittance potentials for South Asia and South East Asia," said Sangle, pointing out that Singapore, with the biggest population of Indians, Banladeshis and other South Asians, leads with annual remittances of USD 17 billion.
