Boom in remittances arouses Western Union

August 26, 2008

By Mzwandile Jacks

Nairobi - A surge in inward remittances from $344 million (R2.7 billion at yesterday's exchange rate) in 2000 to $735 million last year could have prompted Western Union, the global money transfer firm, to open operations in South Africa in partnership with Absa, said a source.

The source - who did not want to be identified because the partners were not prepared to disclose the details before the date of the formal announcement - said the rise in remittances made South Africa attractive, with many of its people migrating to the UK, US and Australia.

"Remember, the UK has been hiring … our skilled healthcare practitioners and the US had also taken some of our people," said the source. "Australia, of course, we know that it is a destination of choice for many South Africans who leave the country. These have left families and friends behind and they are sending money to them."
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