RIYADH, 5 April 2004 — Saudi Arabia’s Al-Rajhi Banking and Investment Corporation (ARABIC) has launched a new remittance service called “Cash Online,” which ensures delivery of funds to the beneficiary within two hours.
“This service, available at all Al-Rajhi Exchange and Remittance Centers, will enable your friends and relatives to receive immediate cash or money credited to account in a foreign country,” said Sami Al-Rajhi, head of Al-Rajhi Exchange and Remittance Centers, in a press release.
“At the moment, the Cash Online facility is available for nine countries out of the total 54 countries where Al-Rajhi has correspondent banks or facilities to remit money,” the statement said.
There are 34 Al-Rajhi express remittance centers across the Kingdom. Al-Rajhi boasts it has emerged as the leading bank in terms of the volume of remittances.
Foreign workers in Saudi Arabia remit over $16 billion a year to their home countries, 60 percent of the $27 billion transferred by expatriates in GCC countries annually.
ARABIC offers remittance and draft facilities through its 391 branches.
The bank has also started a free remittance service to Pakistan in cooperation with Habib Bank of Pakistan. The service is free for remitters sending Pakistani rupees for domestic purposes. This facility, he said, is also available through electronic banking channels including ATMs, Internet and phone banking. Al-Rajhi said the bank in this way hoped to curb illegal hawala services.
The bank has grabbed a major share of the growing remittance market of the Kingdom, from where expatriate workers have remitted about SR585.4 billion during the past 10 years. The amount equal to funds required by the Kingdom for infrastructure projects until 2020.
Remittances by the country’s seven million expatriates have increased by two percent annually despite the Saudization drive.