Luis Felipe Rodriguez, vice-president and general manager of Western Union in Mexico, spoke to Funds Society about the sector, as well as about the company’s short and medium term plans.
Western Union, the world’s largest remittance services company, which in 2012, at an average of 28 transactions per second, registered Money Orders totaling 79,000 million USD, approximately a 20% share of the market, considers Mexico as a land of opportunity.
Rodriguez said that despite the reduction in the volume of remittances to Mexico, Western Union managed to grow by 9% in the first quarter, and expects further growth in the future, supported by an improvement in the U.S. job market and the strategy of the firm, which is focused on moving towards electronic media channels and products.
Likewise, Rodriguez added that he hopes his operation, which has been recovering since November last year after the adjustment made in October by regulatory changes in the United States, will continue with a “favorable performance”.
For 2015, the executive expects a diversification of services supported by the regulatory developments towards financial inclusion, which will help to "improve industry development."
According to information, published by Banxico on the 1st of July, more than 2,033 million dollars in family remittances entered Mexico in May this year, which is 6.94% higher than in April, but 13.17% below the same month in 2012, which in monthly terms means four months on the rise, but in annual terms represents 11 months of falls.