World's leading money transfer company,
Western Union Co.
), has announced the launch of the Mobile Money service in Ivory
Coast along with MTN Group.
While the mobile service in Ivory Coast is a new venture, Western
Union has an old relation with MTN Group. The money transferor
forged an agreement with the telecom operator in 2012, to provide
mobile money transfer in Uganda.
As the name suggests, via the Mobile Money service, MTN customers
will be able to make transaction via their handheld mobile phones.
More than 7.5 million of MTN customers in Ivory Coast will also be
able to receive funds at approximately 900 Western Union Agent
locations spread across the country. The customers also have the
option to pay for online purchases with MTN Mobile Money.
Western Union is particularly eyeing the market in Ivory Coast,
which is attracting many expatriates who in turn generate demand
for remittance. The demand for money transfer in the region
continues to grow as its gross domestic product (GDP) is
On the other hand, Western Union is also embracing the use of new
age technology for serving its customers. Mobile payments are
gaining momentum owing to their convenience and round-the-clock
accessibility. This channel will see a faster adoption rate than
any other electronic channel. The company currently has mobile
money transfer facilities in 17 countries.
The company's Mobile Money Transfer platform, which is included in
the Digital channel and includes westernunion.com, is an area that
is generating strong growth. The company's strategies are working,
and westernunion.com online money transfer revenues increased 31%
in the second quarter. The company expects its digital business to
be a long-term growth driver.
Western Union carries a Zacks Rank #3 (Hold). The company competes
closely with Moneygram International, Inc. (
), which also offers mobile money transfer facility in many
countries, and is actively developing new mobile and online
channels to meet its customers' evolving needs to access cash
quickly, easily and globally.
Other stocks worth considering include Alliance Data Systems
) and Equifax Inc. (
). Both these stocks carry a Zacks Rank #1 (Strong Buy).
Want the latest recommendations from Zacks Investment Research?
Today, you can download 7 Best Stocks for the Next 30 Days.
Click to get this free report
WESTERN UNION (WU): Free Stock Analysis Report
MONEYGRAM INTL (MGI): Free Stock Analysis
ALLIANCE DATA (ADS): Free Stock Analysis Report
EQUIFAX INC (EFX): Free Stock Analysis Report
To read this article on Zacks.com click here.