TerraPay, a leading global payments network and Colombian remittance firm Bancolombia have announced the signing of a new cross-border settlement contract.
As part of their commitment to enhance financial inclusion, the two companies will enable cross-border transfers, connecting Colombians living away from home with real-time solutions to send funds back home.
TerraPay’s infrastructure connects 100 remittance companies across the world, enabling payments between 200 send countries and 120 receive countries.
The partnership with Bancolombia aims to strengthen the domestic remittance market by leveraging TerraPay’s payment solutions to enhance Bancolombia’s capabilities and reach.
Cristina Arrastía, Vice President of Business at Bancolombia, said: “In 2022 alone, of the USD 9.4 million that arrived in the country, the entity paid USD 5,692. This new agreement with TerraPay will multiply these flows, especially with an ally capable of innovating with its solutions and infrastructure.
“Beyond the growth in the way of receiving money, the greatest impact will be on people, especially those Colombians who have a family member abroad, from whom they receive resources for their sustenance in Colombia.
“Colombians themselves in other countries will also benefit due to the number of channels they will have available to move money to the country.”
It is expected from both parties that the new alliance will maximise the entry of money into the country from the US, England, Spain and other countries in Europe. Also from various nations in Asia and Africa.
Paula Andrea Valle, Director, South America, TerraPay added: “The agreement between the two companies is extremely important. Bancolombia currently has the largest share of the remittance market, which for us means reaching this market the right way with the right partner.
“The arrival of TerraPay in the country represents ease and effectiveness in the flow of resources globally. TerraPay is the only payments network to have 29 licences and regulatory approvals globally, along with real-time transaction and risk monitoring capabilities, allowing us to ensure 100% compliance.”