Digital payments are playing an increasingly important role in helping people send money home to their loved ones – especially in low- and middle-income countries where the need for instant, affordable transactions is more important than ever. According to the World Bank, Thailand is one of the world’s top remittance destinations with $ 6.7 billion received from abroad each year. It is also one of the most expensive countries to send and receive money.
Due to the high costs and slow cross-border payments, remitters have few options today. This gives global financial institutions the opportunity to create differentiated value propositions in this market and provide an enhanced customer service experience.
The digital money transfer service Azimo is taking advantage of this opportunity and is launching instant cross-border payments from Europe to Thailand in cooperation with Siam Commercial Bank (SCB), one of Thailand’s leading universal banks. This new connection was made possible through RippleNet, Ripple’s global payments network.
Connections like these help solve the challenges of expensive and unreliable global payments. Previously, transfers from Europe to Thailand took an average of more than one working day. Thanks to the RippleNet connection with SCB, Azimo can now convert pounds and euros to Thai Baht in less than a minute.
“More and more countries are going to pay immediately,” said Michael Kent, Azimo co-founder and chief executive officer. “Thailand recently launched its instant payment network. Thanks to this partnership with the largest bank in the country, we have the time to process payments from around 24 hours to an average of 22 seconds. [It’s] to send money to Thailand faster than to anyone else in Europe ”.
This news follows our recent announcement that Azimo has introduced RippleNet’s On-Demand Liquidity Service (ODL) as part of its remittance capabilities to the Philippines. Since Azimo joined RippleNet, Azimo has been able to reach new customers like SCB and expand their reach by providing more places and ways to move money. RippleNet provides sought-after, high-quality clearing capabilities for markets around the world.
This global payment network takes away the decades-long pain of cross-border payments. With a single connection, financial institutions have access to the best blockchain technology for global payments and withdrawals in over 40 currencies. In addition, customers can use RippleNet’s ODL service, which uses the digital asset XRP to raise liquidity when needed and avoid pre-financing international accounts. With these features, financial institutions around the world can provide transparent and instant payments, so money gets where customers need it most.
People cannot and should not wait days or even weeks to receive payments from loved ones. With RippleNet and ODL, financial institutions can process global payments at unprecedented speed, changing the status quo. By creating new connections and expanding services like Azimo’s partnership with SCB, Ripple customers can now offer the best experience in cross-border payments.
If you’re a financial institution wanting to learn more about how to quickly connect to RippleNet to create new, competitive global payment services for your customers, contact us.