MoneyGram Philippines sees double-digit growth in 2013 for its remittance business

MoneyGram Philippines, the local affiliate of NASDAQ Stock Market-listed cash transfer and money services company MoneyGram International Inc., expects its remittance volume 
to grow in double-digit terms this year.

 

The local affiliate of NASDAQ-listed money transfer firm MoneyGram International Inc. declined to give exact figures, citing rules on corporate disclosures in the US. 

 

"Last year, we grew remittance volume by more than 40 percent,” Alex Chan Lim, MoneyGram country manager for the Philippines, Malaysia, Singapore and Brunei, told reporters on the sidelines of a company event Thursday. 

 

“It will still be a very exciting double-digit growth for this year... around more than 20 percent," Lim added. 

 

The slower growth in volume was expected on account of the higher base last year, Lim noted, saying the company "would love to sustain" around 20 percent growth by keeping fees "below competitors" and focusing on advertising and promotion initiatives. 

 

MoneyGram intends to grow its business "organically" by pursuing partnerships with homegrown banks and pawnshops, most of which are top players in the money transfer business.  

 

Recently, it opened its 10,000th location in the Philippines. 

 

"We are eating up somebody's market share," Lim said, noting that MoneyGram was "very keen" in growing its business in the Philippines. 

 

Overseas Filipino remittances grew by 5.8 percent to $16.48 billion in the first nine months of the year, and Bangko Sentral ng Pilipinas expected remittances to grow by 5 percent this year. 

 

In 2012, remittances hit a record $21.391 billion, from the $20.117 billion in 2011. 

 

The Philippines is third largest recipient of remittances trailing China and India. – VS, GMA News