Western Union, Dena Bank ink deal for inbound remittances

Western Union Financial Services has joined hands with Dena Bank for inbound moony transfer.

Stating that the tie-up was the first step in setting up a formidable network in Gujarat, Western Union Financial Services said in Ahmedabad on Wednesday that it expects a huge growth in business from Gujarat in near future.

In spit of a big Gujarati Diaspora in foreign countries, the state does not figure prominently as far as business volumes of Western Union is concerned.

The strategic relationship between Western Union and Dena bank has been effected through AFL Private Ltd, a primary agent of Western Union.

Western Union inbound money transfer services will be available from 85 branches of the bank across 14 cities in the country. Of these, 35 branches will be in Gujarat alone.

Anil Khandelwal, chairman and managing director of Dena Bank, said in Ahmedabad that by next year Western Union money transfer can be facilitated from 100 destinations in the state.

Speaking at the occasion, Anil Kapur, regional vice-president (South Asia) of Western Union, said: "Our relationship with Dena Bank gives us a substantial reach of over 85 banking offices across 14 states. With Dena bank having a very strong presence in the state, we expect the inbound money transfer in Gujarat to go up in the future."

Cyrus Guzder, CMD of AFL Private Ltd, said that for the first time, Western Union and AFL have got an opportunity to set up a formidable inbound money transfer set up in Gujarat.

"This is not an opportunity to bypass banks, but to actually use their network for mutual benefit. Dena Bank is the third bank after State Bank of Mysore and Canara bank, with which we have such an arrangement," he said.

Khandelwal admitted that remittance are still an irritant area for banks. "But all public sector banks have now understood the importance of customers and are designing services and organisational structure with customers at the centre. But it is true that the Indian customer has so far faced apathy as far as remittance by public sector banks was concerned," he said.