Somaliland Network Activates Mobile Money Remittances From Overseas
Somaliland based mobile network, Telesom has launched a financial remittance service powered by a platform supplied by eServGlobal.
Telesom operates a mobile money program in Somaliland called Telesom ZAAD. Launched in 2009, it is currently used by over 40% of Telesom's customers.
Formal banking infrastructure in Somaliland is extremely limited and the ZAAD mobile money service was launched with the specific objective to bring financial inclusion to Somaliland and to bring the informal economy into the formal space.
The World Bank's Global Financial Inclusion Database (Findex) identified Somalia as one of the most attractive mobile money markets: 26% of the population reported using mobiles to pay bills, which is the highest rate in the world, and 32% to send and receive money. Most of this mobile money activity has been driven by Telesom ZAAD.
The launch of remittance services with HomeSend will enable Telesom ZAAD users to receive money transfers sent directly to their mobile wallets from their loved ones overseas. The Somaliland Government identifies remittances and the diaspora community as playing an important role in supporting and reconstructing the country. Most of the diaspora community live in Western Europe and the Gulf countries.