Mama Money and Capitec establish strategic partnership to enhance cross-border remittances in South Africa

Financial inclusion fintech collaborates with digital bank to reduce costs and streamline international transfers for South African migrant community of over 2.4 million people.

Mama Money has announced a strategic alliance with Capitec Bank to enhance international money transfer services for the migrant population in South Africa. The collaboration combines Mama Money's financial inclusion expertise with Capitec's digital banking infrastructure to create an integrated remittance solution.

The initiative specifically targets the needs of more than 2.4 million migrants residing in South Africa, according to Statistics South Africa data. This population frequently sends financial resources to family members in other African countries, whether to cover education, housing, food, or medical assistance.

Mama Money is a fintech founded 10 years ago with a focus on financial inclusion for migrant communities. The company has developed a remittance platform that offers low-cost, easy-to-use financial tools, including the Mama Money Token system, which enables withdrawals through local partners without requiring a bank account. Capitec is one of South Africa's leading digital banks, known for its approach to simple, accessible, and transparent banking services. The bank differentiates itself by offering uncomplicated financial solutions for various segments of the South African population.

Historically, this demographic has faced significant barriers including high fees, complex bureaucratic processes, and limited access to formal financial services. The partnership seeks to overcome these obstacles through a platform that prioritizes security, simplicity, and reduced costs.

The solution maintains Mama Money's distinctive Token system, which allows recipients to withdraw funds through a network of accredited partners using only a unique code, eliminating the need for traditional bank accounts.

Mathieu Coquillon, co-founder and director of Mama Money, emphasized that the partnership represents an evolution in the company's financial inclusion mission, providing peace of mind for millions of people who depend on accessible international transfer services.

Francois Viviers, Group Executive of Marketing and Communications at Capitec, highlighted that the collaboration applies the bank's "simple, affordable, and transparent" banking philosophy to the challenge of cross-border remittances, recognizing the cultural importance of family and community support across the African continent.