In a groundbreaking move towards advancing the digital payments landscape in Egypt, Visa, a global leader in digital payments, has inked a Memorandum of Understanding (MoU) with Egyptian Banks Co. for Technological Advancements (EBC). This pivotal collaboration, conducted in coordination with the Central Bank of Egypt (CBE), aims to reshape the horizon of instant payments and facilitate international remittances from Egyptian expatriates.

Leila Serhan, Senior Vice President for North Africa, Levant, and Pakistan (NALP) at Visa, underscored the importance of remittances from Egyptian expatriates, emphasizing their significant role in the national income and foreign currency inflow. She stated, “Remittances from Egyptian expatriates play a pivotal role in the national income and foreign currency inflow, providing vital support to countless families in Egypt and abroad. Egypt’s large diaspora, spanning numerous countries, underscores its position as the fifth largest recipient of remittances globally. The export of Egyptian talent and expertise abroad not only generates foreign currency but also supports the domestic economy.”

The collaboration, facilitated by the MoU, is envisioned to unlock the full potential of the Egyptian payment ecosystem. Serhan added, “The MoU between Visa and EBC, under the auspices of the CBE, is instrumental in leveraging Visa’s global network strength, unlocking the full potential of the Egyptian payment ecosystem, and working closely with EBC to map a path towards financial inclusion through the digitization of payments in Egypt. This collaboration will enable the Egyptian market to benefit from Visa’s global payment strategy, share market insights, and access cutting-edge technological innovations.”

Engineer Tarek Raouf, Executive Chairman and CEO of Egyptian Banks Co. for Technological Advancements (EBC) expressed his enthusiasm for the transformation brought about by the Instant Payments Network (IPN) and the InstaPay application since its launch in March 2022. Raouf stated, “The application has empowered customers within Egypt to securely make instant transfers between bank accounts, cards, and mobile wallets. We are excited about maximizing the enormous potential of the InstaPay application to enhance cross-border financial flows, in line with the vision of the Central Bank of Egypt, which promotes leveraging digital transformation opportunities for Egypt’s economic growth. This application offers a secure and immediate alternative for remittances, providing Egyptians abroad with a convenient and secure option compared to other available channels.”

Raouf expressed optimism about the collaboration between Visa and EBC, anticipating innovation in cross-border digital payments. He remarked, “I am highly optimistic about the collaboration between Visa and EBC to drive innovation in cross-border digital payments, aiming to expand the user base of the InstaPay application beyond Egypt by utilizing Visa’s global presence. Both entities will work together to provide innovative digital solutions to global users of the application, ultimately increasing financial inflows into Egypt and stimulating long-term economic growth.”

The collaboration aligns with the efforts of the Central Bank of Egypt and the Egyptian government to encourage and facilitate incoming remittances from Egyptians working abroad, particularly in the Gulf and Arab Levant countries. Visa’s position as a global leader in digital solutions for moving funds and electronic payments ensures a significant market share in remittances to Egypt, notably in the Gulf region, which accounts for the majority of total remittances to Egypt.

The partnership’s focus extends beyond international transfers, aiming to elevate the user experience and broaden the services offered. Leveraging Visa’s global network strength and EBC’s unique instant transfer experience through the InstaPay application, customers can initiate transfers from Visa-linked accounts outside Egypt, with flexible options to add the transfer amount to registered accounts or transfer to other customers through the Instant Payments Network.

As a noteworthy mention, Visa operates a vast network spanning over 200 countries worldwide, supporting 160 different currencies, ensuring ease, swiftness, and cost-effectiveness in global transfers. Committed to adhering to regulatory procedures and international standards, Visa ensures the security of electronic payment channels and electronic payment cards on a global scale. The strategic collaboration between Visa and EBC is poised to usher in a new era of digital payments, fostering financial inclusion and contributing to Egypt’s economic growth.