Western Union has expanded its partnership with Tencent Fintech to enable global customers to send money directly to WeChat users in China. Under the agreement, customers using Western Union's digital platform can send money directly to China's WeChat Pay wallet or an associated bank account.

Enhancing global payment channels

According to the payments giant, the integration is designed to streamline the payment process and allow remitters to bypass traditional cash collection methods. With the ability to send up to $5,000 per transaction, the enhancement marks a significant step in the company's efforts to meet the evolving needs of customers seeking international remittance solutions.

Western Union's partnership with Tencent aims to meet the preferences of China's tech-savvy population by providing better remittance services. By leveraging WeChat's user base and Western Union's global network, the partnership creates a digital bridge that connects China to the rest of the world by facilitating cross-border transactions.

Sohini Rajola, Head of Western Union Asia Pacific, said, “We are excited to expand our services on WeChat, one of China's largest digital platforms that plays an important role in the lives of more than 1 billion users. China is the third largest remittance-receiving country in the world, with remittance receipts in 2023 estimated at $50 billion. Through our partnership with CaiPay, we are excited to further enhance our services to meet the evolving needs of our customers."

Western Union emphasizes the importance of this partnership in meeting the growing demand for cross-border remittances, especially in markets like China. China is reported to receive around $50 billion in remittances in 2023, making it the third largest recipient of remittances globally.

Expansion to Cuba

Early last month, Western Union resumed remittance services from the United States to Cuba. The move was designed to facilitate remittances to Cuban residents who have accounts at designated local banks. Under the reinstated service, Western Union customers can send money to Cuban recipients from any U.S. retail location, WesternUnion.com or mobile app. However, the service is limited to consumer remittances, which are capped at US$2,000 per transaction.

Recipients must have valid identification and a bank account with a designated Cuban bank, including Banco Popular de Ahorro, Banco Metropolitano SA and Banco de Credito y Comercio (Bandec).

Funds can only be sent to bank accounts and debit cards, and transfers are limited to consumer transactions. Customers in the United States can transfer up to US$ 2,000 per transaction, provided they present a valid Government-issued identification document. The service is reportedly available on the same day, even on weekends and holidays.