Somalia: World Bank makes progress to support remittances flows
Improved remittances services will ensure that the diaspora is able to safely and cost-effectively send money home to families.Somalia’s financial and private sectors are restricted due to several constraints including limited access to finance. Furthermore, over the past two years, main foreign banks have closed bank accounts of Somali remittance companies, purportedly due to perceived high risks of money laundering and potential links to terrorism.
Remittances in 2015 were estimated to reach a total of US$1.4 billion and support 23% of the GDP.
The World Bank has been working alongside the Central Bank of Somalia (CBS) to ensure that remittances flows to Somalia continue to reach people who depend upon them as a critical source of income.
Abyrint. AS, a consulting company that has already commenced activities on the ground, in Mogadishu, has been appointed as the “Trusted Agent” to the CBS, after being selected through a public and competitive process
Abyrint. AS will assist the Somali authorities in comprehensively regulating and supervising money transfer businesses, the joint activities being focused on improving the formalization, transparency, and compliance of the sector.