ACE and dLocal Partner to Enhance Remittance Services in APAC and EMEA

Published 7 months ago

A partnership has been announced between ACE Money Transfer and dLocal, aiming to enhance payout services across the Asia-Pacific (APAC) region and Europe, the Middle East and Africa (EMEA). The collaboration is expected to streamline, secure, and expedite remittance inflows to these regions.

Surge in Remittances

Last fiscal year, the EMEA region recorded remittances valued at $79 billion, representing a 19% increase from the preceding year. On the other hand, the APAC region saw a modest 0.7% increase, with remittances totaling $130 billion. Both ACE Money Transfer and dLocal view these regions as potential growth areas due to rising demand for international remittances.

Enhancing International Money Transfer

The partnership enables customers in the U.K., Europe, Canada, Australia, and Switzerland to instantly transfer money to multiple corridors across APAC and EMEA. The transfers can be made via various payment channels, including bank transfers and wallet payments.

Agustin Cerisola, head of Asia & Africa, Global Remittances at dLocal, highlighted the importance of reliable and secure international payments and remittances, as they cater to diverse needs, such as financing purchases, covering business costs, or providing capital for entrepreneurial activities.

Challenges for SMBs and the Role of CBDCs

According to PYMNTS Intelligence, 27% of small to medium-sized businesses (SMBs) find the complexity of cross-border payments to be a hindrance to their growth. Moreover, only 23% of SMBs were very or extremely satisfied with the cross-border payment solutions they currently use.

In contrast, the Digital Dollar Project suggests that central bank digital currencies (CBDCs) could help improve the remittance market, offering a chance to modernize processes and promote efficiencies for private sector companies and their customers.