Robert Dinkins, head of Caribbean region MoneyGram International, indicates to the Jamaica Observer that market share in Jamaica has been growing.

Dinkins states, “While I can’t share specific numbers for Jamaica due to competitive sensitivities, I can confirm to you that MoneyGram’s market share in Jamaica has been increasing steadily over the last two years. Our digital channels on the origination side are particularly strong for transactions to the Caribbean.”

Money transfers into Jamaica range between US$2 billion and US$3 billion annually. In 2021 inflows were a historic US$3.45 billion.

Western Union, in partnership with GraceKennedy, claims over 50 per cent of the market but actual numbers have never been shared.

Dinkins said that MoneyGram International in 2022 saw “Digital revenue reaching an all-time high of US$95 million in Q3 2022, and during that period digital transactions reached 45 per cent of money transfer transactions.”

The regional head pointed to a recent customer survey conducted which showed that migrant families are concerned about economic hardship, but still say they consider sending money an important priority.

Over 80 per cent of respondents report concerns about a potential recession and global inflation, but the overwhelming majority (98 per cent) say they plan to continue sending money back home throughout the rest of the year.

Additionally, more than three-quarters (79 per cent) indicate they tend to send more money back home when their country of origin is experiencing economic hardship.

MoneyGram said that its internal data, which shows a 41 per cent spike in sends from the US to Ukraine in March 2022 compared to the same month the prior year, as well as a steady increase in global sends to Afghanistan in the last year.

Alex Holmes, MoneyGram chairman and CEO, commented, “If the current economic volatility leads to prolonged economic hardship, we expect consumers will likely cut expenses in other areas to prioritise their families. These survey results underscore the dedication people have to their loved ones abroad, and I continue to be inspired by our customers.”

Many are sending cross-border money transfers to their siblings, friends, and parents to pay for basic essentials such as food, housing, and health care.

When asked who respondents are sending to this year, primary recipients include siblings (49 per cent), friends (48 per cent), and parents (38 per cent). Survey data also highlights that cross-border money transfers continue to be used to fund the basic essentials of life for people around the world.

The top four expenses respondents help cover for recipients are food (72 per cent), housing (55 per cent), health care (52 per cent), and emergencies (44 per cent).

Among global concerns around high fuel prices and supply chain issues impacting the availability of vehicles, nearly a quarter (22 per cent) of respondents in the MoneyGram survey indicate their cross-border money transfers have gone toward transportation expenses.