MICROCAPITAL BRIEF: Indonesia’s Excelcomindo Axiata Launches International Remittance Service

Excelcomindo (XL) Axiata, an Indonesian telecommunications subsidiary of Malaysia-based Axiata Group, reportedly has launched its “XL Tunai International Remittance” service, allowing customers to receive money transfers from 110 countries via text messages, a method known as short messages service (SMS). People living abroad are able to access the service by uploading money at outlets of Western Union, a US-based financial services provider with outlets in 200 countries. Recipients receive a code that is redeemable at convenience stores and XL outlets. XL Axiata charges between 5,000 IDR (USD .52) and IDR 10,000 (USD 1.04) per transaction. The company expects the service to reach 2 million customers by the end of 2013 [1].

As of 2012, XL Axiata served approximately 44 million subscribers. For the year 2011, Axiata Group reported assets of MYR 40.5 billion (USD 13.1 billion) [2].

By Brendan Millan, Research Associate

About Excelcomindo (XL) Axiata

Founded in 1996, XL Axiata, a subsidiary of Malaysia-based Axiata Group, is an Indonesian mobile phone operator. As of 2012, Axiata XL served approximately 44 million subscribers. For the year 2011, Axiata Group reported assets of MYR 40.5 billion (USD 13.1 billion).

About Western Union
The Western Union Company, founded in 1851, is a US-based financial services and communications company. Western Union provides money transfer, communications and network services through approximately 510,000 agent locations in 200 countries and territories as of June 2012. As of June 2012, Western Union Company reports total assets of USD 9.17 billion.

Sources and Additional Resources:

[1] Jakarta Globe: “XL Plans to Tap Migrant Worker Community With Remittance Text Service” by Lona Olavia, http://www.thejakartaglobe.com/business/xl-plans-to-tap-migrant-worker-community-with-remittance-text-service/569554

[2] Axiata Group: “Annual Report 2011”, http://axiata.com/investor-relations/financial_reports.html

MicroCapital.org story, December 13, 2012, “Banks in Indonesia Claim Readiness for Branchless Banking, Pending Regulation Issuance”, https://www.microcapital.org/microcapital-brief-banks-in-indonesia-claims-readiness-for-branchless-banking-pending-regulation-issuance/

MicroCapital.org story, September 29, 2012, “India’s Life Insurance Corporation, Mobile Operator Robi Axiata of Bangladesh Launch Microinsurance Offerings”, https://www.microcapital.org/microcapital-brief-indias-life-insurance-corporation-mobile-operator-robi-axiata-of-bangladesh-launch-microinsurance-offerings/

MicroCapital.org story, September 19, 2012, “eBay, Grameen Foundations Partner to Launch Mobile Marketplace, Transaction Platform to Increase Financial Inclusion in Indonesia”, https://www.microcapital.org/microcapital-brief-ebay-grameen-foundations-partner-to-launch-mobile-marketplace-transaction-platform-to-increase-financial-inclusion-in-indonesia/

MicroCapital Universe Profile: Western Union,
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Western+Union

Do you know that MicroCapital publishes the MicroCapital Monitor newspaper each month? Find out more at  https://www.microcapital.org/products-page/

 

Similar Posts: