Remitting money back to Africa is often common practise among Africans in Diaspora, either for health reasons, property acquisition, business or charity. On average, Africans lose between 9% and 22% to fees with little or no option to reduce this.
After a short research, the high remittance fees could be a result of the providers trying to cater for markets that were not originally addressed for the product. Some of the highlighted challenges faced by providers include local regulatory compliance, security which oftentimes affects how the company charges user to make transfers to Africa.
What other challenges do you think is responsible for the high remittance fees in Africa?