Visa has entered a partnership with the Egyptian Banks Company (EBC) to streamline and enhance the process of international remittances for Egyptians living overseas. This comes after EBC’s recent collaboration with Mastercard to enhance Egypt’s digital payment ecosystem and promote inclusive economic growth.
The collaboration combines EBC’s technological infrastructure with Visa’s digital financial solutions to deliver advanced digital wallet and e-payment solutions. This aligns with the strategies of the Egyptian government and the Central Bank of Egypt (CBE) to facilitate remittances from Egyptians working abroad.
EBC, the technological branch of the CBE, manages and develops various domestic payment systems in Egypt, including the Instant Payments Network (IPN) and the InstaPay application.
Additionally, the CBE has implemented regulations for credit card use by Egyptians abroad. Failure to provide proof of credit card use during overseas stays within 90 days can lead to consequences including credit card suspension and listing on a platform run by the Egyptian Credit Bureau.
As per the Memorandum of Understanding (MoU) signed with the Egyptian Banks Company and the CBE, the initial project involves service integration into the InstaPay application. This will allow customers to transfer funds from Visa-linked accounts located outside of Egypt into accounts of registered customers via the Instant Payments Network (IPN).
The IPN allows for direct access to all accounts and instant transfer of funds in real-time. Customers can utilize this service to send money to bank accounts using various identifiers like account numbers, mobile numbers, and digital wallets.
The second project entails partnerships with banks and financial institutions to simplify the process of sending money to recipients in Egypt. This will be accomplished using the IPN’s phone number or username directory.
Leila Serhan, Visa’s Senior Vice President for North Africa, the Levant, and Pakistan, underlined the substantial contribution of remittances from Egyptian expatriates to the nation’s income and foreign currency influx.
Egypt ranks as the fifth-largest global recipient of remittances, as reported by the World Bank. However, these remittances have decreased, falling from $15.6 billion to $12 billion during the first half of the fiscal year 2022/2023.
