Jerry Lukendo Mbokani has to make several calculations when he sends money to his elderly mother in the Democratic Republic of Congo.
In Kampala, Uganda, where Mr Mbokani has lived for 16 years, he first has to buy US dollars. To convert approximately $100 (£80) worth of Ugandan shillings would cost almost $3, he reports.
He also adds the withdrawal fee of $7, so that his mother doesn’t incur a fee when receiving the money.
He also adds the withdrawal fee of $7, so that his mother doesn’t incur a fee when receiving the money.
Mr Mbokani, the chief executive of the Refugee-Led Organization Network (Relon), knows he’s far from alone.
One target of the UN Sustainable Development Goals is that by 2030, remittance fees should be less than 3%, and total fees to send and receive money between a pair of countries should be no more than 5%. Some researchers believe that to be truly affordable, the first goal should be even less than 3%.
The International Monetary Fund has estimated that reaching this target could generate $32bn (£26bn), even apart from the direct-cost savings.
This is because remittances have such powerful knock-on effects for the economy, and people tend to send more in remittances when fees are lower.
Yet the world is far off this target. According to the World Bank, the global average is 6.2%, over double the target.
Jerry Lukendo Mbokani has to make several calculations when he sends money to his elderly mother in the Democratic Republic of Congo.
He also adds the withdrawal fee of $7, so that his mother doesn’t incur a fee when receiving the money.
In Kampala, Uganda, where Mr Mbokani has lived for 16 years, he first has to buy US dollars. To convert approximately $100 (£80) worth of Ugandan shillings would cost almost $3, he reports.
Mr Mbokani, the chief executive of the Refugee-Led Organization Network (Relon), knows he’s far from alone.
He also adds the withdrawal fee of $7, so that his mother doesn’t incur a fee when receiving the money.
He also adds the withdrawal fee of $7, so that his mother doesn’t incur a fee when receiving the money.
Mr Mbokani, the chief executive of the Refugee-Led Organization Network (Relon), knows he’s far from alone.
One target of the UN Sustainable Development Goals is that by 2030, remittance fees should be less than 3%, and total fees to send and receive money between a pair of countries should be no more than 5%. Some researchers believe that to be truly affordable, the first goal should be even less than 3%.
The International Monetary Fund has estimated that reaching this target could generate $32bn (£26bn), even apart from the direct-cost savings.
This is because remittances have such powerful knock-on effects for the economy, and people tend to send more in remittances when fees are lower.
Yet the world is far off this target. According to the World Bank, the global average is 6.2%, over double the target.
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