Barclays, the last major bank providing remittance services to Somalia, announced in May that it planned to shut down the accounts to about 250 money-service businesses, initially setting a 10 July deadline, citing concern over falling foul of money-laundering regulations.
Most mobile money systems only operate within the boundaries of a single country, despite evidence of major trade and remittance corridors existing across national borders.
Tourism is one of Uganda's biggest sources of income-in the 2013-14 fitcal year, itookok in $1.4 billion, up from $1.1 billion the previous year, topping the country's other two major revenue drivers, remittances ($800 million) and coffee ($415 million).
In May 2013, Barclays, the last major bank to provide remittance services to Somalia, announced plans to close the accounts of about 250 money transfer businesses, citing concerns about money laundering.
Gold and cocoa production and individual remittances are major sources of foreign exchange.
Barclays, the last major UK bank to provide remittance services to Somalia, closed the accounts of about 250 money transfer businesses in 2013 and another remittances specialist, Merchants Bank of California, announced plans in February 2015 to close the accounts of all the Somali-American money transfer companies on its books.
Among the dependent states, foreign subsidies and remittances provide a major source of income.
Remittances became the major source of foreign aid to Haiti, comprising up to a third of the money flowing into the country by the early nineteen-eighties.
However remittances as a major source of foreign exchange successfully closed the created developmental gap (Ahmad & Malik 2009).
In some countries remittances are a major source of services exports and foreign exchange.
