WorldRemit is a fast and secure service that allows users to transfer money online using a computer, smartphone or the WorldRemit App. This global money transfer service announced that it would be ending its operations in Uganda.
Why is WorldRemit ending its operations in Uganda?
It is evident that Businesses have suffered throughout the Covid 19 period. A number of businesses have closed down, others had to adjust a bit in order to cope up. However, for this global company to close its operations certainly raises more questions than answers.
“ We are letting you know that regrettably, WorldRemit has stopped providing send services and will not be accepting any new transactions sent from Uganda starting June , 6 “ reads a notice from WorldRemit. This is big blow to the customers of WorldRemit who have been ardent users of the services.
The good news as clarified by the company is that the end of its operations only affects sending money outside Uganda using WorldRemit. “ Transactions sent to Uganda from senders overseas will continue and are not impacted by this decision,” says the Company.
This implies that despite ending its operations in Uganda, WorldRemit will still allow sending money from overseas to Uganda. Its understood a number of people have relations overseas who occasionally send them money. WorldRemit is one of the options to receive this money.
WorldRemit not first global company to leave Uganda
Last year Africell Telecom users and workers woke up to a shock announcement. The company that had took over business from Orange Telecom company in 2014 was now giving an ultimatum of October 7 as it ends business in Uganda.
This meant Africell was joining the list of global companies such as ShopRite, Vodacom, Zain , Barclays, Etihad airways among others that have worked in Uganda and later left with varying reasons.
PayPal is another international company that handles financial services . “PayPal account holders in Uganda can neither receive nor withdraw money via PayPal though they can deposit money on PayPal via their Bank accounts or via MTN Mobile Money and Airtel Money MasterCard.”
Why Global companies are leaving Uganda
It is not enough to claim factors such as shrinking sales ,low returns and slow growth of the economy have led to these companies closing down. There is more to it than just the average us.
The New Vision last year September quoted Ramathan Ggoobi ,the permanent secretary and secretary to the treasury at the ministry of finance, planning and economic development saying they are studying the exit of companies.
“I assigned my team to find answers to why each of these companies has exited ,the likely impact of their exit today and in the medium term, whether there is anything we may do to avert similar exits”Ggoobi said.