PayPal, the American money transfer giant has partnered with the equal Kenyan telecommunication giant Safaricom to provide easier money transfer solutions for Kenyans transacting on the international marketplace. This collaboration is set to facilitate e-commerce, business to business transactions and online shopping for individuals. The move is part of PayPal’s long-term strategy to enable e-commerce on the continent and to democratize financial services. This new system offers a convenient and secure solution for customers, shoppers, and businesses with the increased number of fraudulent schemes online.
The intent of the collaboration is to open up global marketplaces and the global economies to millions of Kenyans and Kenyan businesses said Director of Strategy at Safaricom, Joseph Ogutu. This collaboration offers speed and efficiency beyond borders promoting a new found and resolute confidence from customers and entrepreneurs. Consumers only need an MPESA account to shop online from any country in the world. The Kenyan economy will certainly benefit from international money transfers with the country’s growing e-commerce businesses.
The two companies entered into an agreement with the help of TransferTo, a firm that operates a global cross-border mobile payments network for emerging markets and became a mutual partner to bridge the business opportunity. TransferTo provides real-time transactions for money transfer operations since its establishment in 2005 and boasts a variety of solutions such as digital payments for digital wallets, bank accounts, and cash pick-up payments. TransferTo described the move as a chance to close the gap using two world-class payment systems between developed nations and emerging markets and execute a plan that offered previously hindered businesses from taking full advantage of global e-commerce to engage competitively. Given the company’s history, it was a perfect match to be the tech partner for the strategic collaboration. The services being offered by the two companies are currently live and available to all Kenyans.