Logo of Phnom Penh Post newspaper Phnom Penh Post - Wing, GmoneyTrans ink partnership deal

Wing, GmoneyTrans ink partnership deal

An attendant at a Wing branch in central Phnom Penh receives money from a customer last year.
An attendant at a Wing branch in central Phnom Penh receives money from a customer last year. Hong Menea

Wing, GmoneyTrans ink partnership deal

A South Korean phone-based money transfer company has partnered with Wing Specialized Bank to tap into remittance services for Cambodians living and working abroad.

GmoneyTrans signed a cooperative agreement yesterday with Wing and hopes to launch the remittance service by the middle of next month, according to the company’s chief executive.

Kim Jong Moo, CEO of GmoneyTrans, said that the company’s service fees will be 70 per cent lower than current operators that typically charge between 4 to 5 per cent commission and take two or three days for funds to be made available to their recipient.

“If workers transfer $1,000 to relatives here through our service, they can pay less than $10,” he said, adding that banks generally charge nearly $40 for that same amount.

“[The service] will be more convenient, more innovative and will be a cost-saving network,” he said.

According to Jong Moo, there are nearly 45,000 workers in South Korea that send upwards of $500 million between the two countries each year.

To use the service, customers with existing bank accounts in South Korea must download the mobile app and register their account information. Once the sender sends the money to a confirmed account in Cambodia, recipients can pick up the money from any of the 4,000 Wing agents nationwide.

“The new service will not only help provide an easy way for Cambodian workers in Korea to send money home, but will also help them keep close relationships with their relatives,” said Jojo Malolos, CEO of Wing Specialized Bank.

Ministry of Labour spokesman Heng Sour welcomed the news of the cost-cutting service and added that nearly 8,000 Cambodian workers migrate to South Korea each year, earning on average a salary of $1,200 a month.

He estimated that some 43,000 labourers sent around $300 million between the two countries last year using traditional remittance services.

“If the new service can provide lowers costs, it is truly a great help for our workers in Korea,” he said.

So Phonnary, executive vice president of Acleda Bank, said that Acleda has partnered with numerous banks in South Korea and has negotiated a special rate for Cambodian workers of just 0.17 per cent of the transaction amount.

However, she said that due to Acleda Bank’s limited footprint in South Korea, the majority of the bank partners are inaccessible to Cambodian migrant workers.

“Cambodian workers in Korea are spread across the whole country, and the banks we have partnered with can’t reach them all,” she said.

“Having an easier service for workers to transfer money is good because they will have more choices.”

MOST VIEWED

  • Prince injured, wife dies after accident

    THE wife of former First Prime Minister Prince Norodom Ranariddh, Ouk Phalla, 39, died while the prince was “severely” injured following a road accident in Preah Sihanouk province’s Prey Nub district on Sunday morning, officials said. Rananriddh, who is also the president of the Funcinpec

  • Guards protest dismissals, reject claims of sharing naked photos of child

    Some 20 former security guards at the US Embassy in Phnom Penh protested on Tuesday against their dismissal. They accused their employers of falsely claiming they had viewed and shared child pornography from their mobile phones as grounds for their termination. In total, 32 personnel were dismissed

  • We’re going to Wisney World!

    More than 6,000 mostly Chinese attendees witnessed the inauguration ceremony of a $1 billion Sihanoukville resort project called Wisney World in the capital on Wednesday. The event on Koh Pich, attended by several senior Cambodian government officials, is a joint venture between China’s AMC International and

  • Funcinpec urges probe into deadly Preah Sihanouk accident

    THE Funcinpec party has urged the government, especially the Ministry of Interior, to investigate the traffic accident in Preah Sihanouk province which left Prince Norodom Ranariddh badly injured and his wife Ouk Phalla dead. Funcinpec Vice President You Hokry told reporters at Botum Votey pagoda,