Romanians abroad send less money to the country, cash transfer firm says
The volume of remittances sent by Romanians abroad to their families in the country have dropped, over the past month, to only 40% of the volume recorded in the same period last year, according to Valentin Daeanu, CEO of money transfer…
Romania Insider · Journalist
· Updated · 1 min read
The volume of remittances sent by Romanians abroad to their families in the country have dropped, over the past month, to only 40% of the volume recorded in the same period last year, according to Valentin Daeanu, CEO of money transfer operator Smith&Smith, local Economica.net reported.
In contrast, the number of transfers to Romanians abroad from their families at home has doubled, he added.
Smith&Smith estimates that it holds a market share of some 10-12% on the EUR 3 billion cross-border money transfers in Romania. The most popular money transfer solutions are those operated by Western Union or MoneyGram, which exist in almost all banks, but also in the Romanian Post.
According to official data, Romanians working abroad send annually, by different channels, between EUR 4 billion and EUR 6 billion, surpassing the foreign direct investments. The new coronavirus (Covid-19) pandemic and the restrictions imposed by most Western European countries to contain it have impacted many Romanians living abroad. Some have lost their jobs and are facing financial problems, which explains the higher money transfers from Romania to other countries.
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