South Africa’s leading digital retail bank, Capitec, has joined forces with fintech remittance pioneer Mama Money to revolutionize the way money is sent across African borders. This new collaboration is aimed squarely at reducing the financial burden on the country’s 2.4 million migrant workers who rely on remittances to support families back home. By lowering transaction costs and eliminating bureaucratic friction, the partnership brings essential financial relief to a segment long underserved by traditional banking systems.
Lower Fees, Faster Transfers, Greater Impact
Remittance costs in Africa have historically ranged from 8–12%, posing a significant barrier for low-income earners. The Capitec-Mama Money solution cuts fees down to as low as 5%, making it one of the most affordable cross-border services available in the region. Transfers are processed within minutes, replacing the multi-day waiting periods that have long characterized the remittance process.
Solving a Real Pain Point for Migrant Communities
Migrant workers from countries such as Kenya, Zimbabwe, Mozambique, and Malawi have traditionally faced high costs, cumbersome procedures, and limited access when sending money home. With the new system, Capitec customers can simply log into their mobile app, select Mama Money, and create a 12-digit token. Recipients, who don’t need a bank account, receive an SMS and can collect the money from partner locations across more than 70 countries.
An Inclusive Solution Built for African Realities
The remittance feature is fully compliant with South Africa’s POPIA and FICA regulations, ensuring security, transparency, and trust. More than just a financial tool, it is a lifeline tailored for Africa’s mobile-first, cash-reliant economies. This is especially crucial for the informal workforce, where digital banking remains largely inaccessible or underutilized.
Empowering Women and Families Across Borders
Nearly half of South Africa’s migrant workers are women, many of whom are the primary income providers for families in neighbouring nations. By slashing fees and streamlining access, the Capitec-Mama Money integration directly supports gender-inclusive financial empowerment. According to Capitec’s Group Executive for Marketing and Communications, Francois Viviers, the new offering reflects the bank’s commitment to delivering services that are not only affordable and simple but also socially impactful.
Fintech Innovation Meets Mainstream Banking
Mama Money, founded in 2015, has become a trusted name in cross-border transactions, known for its low fees and high reliability. Its integration with Capitec signals a broader shift in African financial services—where traditional banks are increasingly partnering with fintechs to better serve the underbanked and informal economies. The partnership brings together Capitec’s 24 million-strong customer base with Mama Money’s proven digital-first platform.
Driving Financial Inclusion Through Partnership
This partnership exemplifies how financial technology can be harnessed to restore dignity and opportunity for those often left out of the formal banking system. “We’re giving people the tools to support their families, build resilience, and participate in the digital economy,” said Mama Money Co-Founder Mathieu Coquillon. The move is not just about transactions—it’s about fairness, access, and building a more inclusive financial future for the continent.
By combining scale with innovation, Capitec and Mama Money are setting a new standard for affordable, accessible, and inclusive financial services in Africa. Their partnership tackles a long-standing issue with practical, scalable technology that benefits millions of migrant workers and their families. As more fintech-bank collaborations emerge, this model could become a blueprint for transforming financial ecosystems across emerging markets.