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Citi, América Móvil team up for mobile banking services in Latin America

Monday 10 October 2011 15:13 CET | News

Global financial services provider Citigroup and American wireless services provider América Móvil have announced a USD 50 million joint venture (JV) for mobile banking services in Latin America, according to online media outlet Financial Times. The JV will be operating in Mexico by Q1 2012.

At first, the partnership between Citigroup and América Móvil, operating under the brand name Transfer, will be available for clients of Banamex, Citi’s Mexican subsidiary, and Telcel, América Móvil’s Mexican mobile telephone company. After its deployment in Mexico, the JV will be rolled out in the rest of Latin America.

With Transfer, customers will be able to use their mobile devices to set up bank accounts, transfer money from one account to another, withdraw cash from ATMs, buy products in stores, receive payments and pay bills, according to the Financial Times.

The same source indicates that the Transfer platform is set to allow participation of rival banks and MNOs. Transfer will also be used by governments to distribute funds in subsidies to the poor and for civil service payrolls.

A transfer or a payment will cost clients one or two Mexican Pesos, with revenues from the transactions being shared equally between Citi and América Móvil, the Financial Times reports.

According to the same media outlet, América Móvil has announced that, in the next three years, it plans to roll out banking services to about 35 million people, representing 15 percent of the company’s mobile subscriber base in the American continents.


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Keywords: Citigroup, América Móvil, Transfer, Latin America, joint venture, mobile banking
Categories: Payments & Commerce
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Countries: World
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