Azimo, an online funds transfer service provider, has teamed up with Thailand’s Siam Commercial Bank (SCB), the nation’s oldest financial institution, in order to introduce an instant international payments gateway from Europe to the Asian country.
As mentioned in an announcement made on April 9, 2020, the new platform will be powered by RippleNet, a decentralized cross-border payments network developed by American Fintech Ripple.
The international payments platform aims to address the current challenges of costly and unreliable cross-border transactions. The announcement noted that remittance payments from Europe to Thailand, routed via the new platform, should be settled within a minute.
Remittance payments between Europe and Thailand have taken one or more business days to complete. Azimo’s services let users complete Sterling Pound (GBP) and Euro-based payments to Thailand almost instantly. Recipients based in the country can make withdrawals in Thai Bahts.
Michael Kent, co-founder and executive chairman at Azimo, stated:
“Thailand recently launched their instant payment network, and this partnership with the largest bank in the country allows us to get the time to settle payments down from around 24 hours to an average of 22 seconds. [It’s] faster to send money to Thailand than to someone else in Europe.”
The World Bank’s data confirms that Thailand is one of the world’s leading destinations for remittance payments. The country receives around $6.7 billion worth of remittances every year. Unfortunately, Thailand’s also one of the most expensive nations when it comes to sending and receiving funds.
The recent partnership between Azimo and Siam Commercial Bank has come after the digital payments company introduced RippleNet’s On-Demand Liquidity (ODL) service as part of its global expansion efforts into the Philippines.
The service will be rolled out in other parts of the world in the coming months.
In January 2020, the SCB had teamed with San Francisco-based Fintech Ripple to develop a blockchain or distributed ledger technology (DLT)-powered mobile app to facilitate cheap international payments.