Pan-African fintech company, Flutterwave, has announced the acquisition of 13 new money transmission licences in the United States. With its pre-existing partnerships, the company is now equipped to facilitate remittances to and from around 29 states in the US via its remittance product, Send App.
Some of the states include Arizona, Arkansas, Maryland, Michigan, Delaware, Georgia, Maine, Mississippi, Missouri, New Hampshire, Iowa, North Dakota, and South Dakota.
“Getting these licences expands our regulatory footprint, demonstrates our ability to deliver services with safety and soundness, and fosters trust of regulators, partners and customers,” says Stephen Cheng, executive vice president for global expansion and partnerships at Flutterwave.
This comes about four months after the fintech announced the expansion of its cross-border payment offering to the US. According to Cheng, “These licenses reflect our commitment to working with regulators across various markets, following their requirements and ensuring the safety of customer funds. We will continue to create an environment of safety and trust.”
Flutterwave has been actively obtaining licenses related to remittance since it faced [now rectified] regulatory challenges in Kenya last year.
In November, the Reserve Bank of Malawi issued an International Money Transfer Operator (IMTO) licence to the company. Before this, Flutterwave declared a partnership with IndusInd, the sixth-largest bank in India by assets, to extend its remittance product, Send App, to the South Asian country. Additionally, the fintech obtained a similar licence in Rwanda.
“Remittance flows have become one of the largest sources of external finance to African countries after foreign direct investment and continue to attract increasing attention because of its rising volume and impact on the receiving countries,” according to Olugbenga Agboola, founder and CEO at Flutterwave.
“Our mission is to connect Africa to the world and the world to Africa by simplifying payments for endless possibilities. These licenses move us one step closer to our vision and we will continue to expand this feat to ensure coverage for all States in the U.S. and beyond,” he added.