Kotak Mahindra Bank on Monday announced the launch of its outward forex remittance service, Kotak Remit, on mobile that will allow users to send money abroad directly from their mobile phones.
The outward forex remittance solution is live on the Kotak Mobile Banking App.
For the first time, Kotak customers can conveniently transfer money internationally to their beneficiaries straight from their mobile, Kotak Mahindra Bank said in a release.
The private sector lender said that it is an industry-first move, and customers will not have to furnish any physical documents for transactions up to $25,000 or equivalent seamlessly to permissible geographies across the world.
"The mobile has been at the centre of a revolution of sorts and it has changed the way we bank, invest, shop and pay.
"Domestic payments has been one of the core areas of focus. With the launch of Kotak Remit on mobile, we have entered a new phase of digital transformation encompassing international payments, which gives our customers the advantage of banking on mobile for making international fund transfers as well,” said Phani Shankar, President & Co-Head – Treasury & Global Markets, Kotak Mahindra Bank.
Kotak Remit offers remittances in 15 currencies including the US dollar, Australian Dollar, UK Pound Sterling, Hong Kong Dollar, Saudi Riyal, Canadian Dollar, Singapore Dollar, Euro, Japanese Yen.
By entering transfer details and beneficiary details, customers can remit up to $25,000 or equivalent per day and up to $250,000 or equivalent in a financial year through Kotak Remit.
Customers will receive a notification at every stage of the transaction process, keeping them updated and can also save beneficiary details to facilitate quick repeat remittances.
While outbound remittances under the Liberalised Remittance Scheme (LRS) for resident individuals has seen a decline this year owing to the pandemic, remittances from India have been consistently growing prior to FY 2020-21 and presents a significant market opportunity, said the bank.
In 2019-20, outbound remittances from India grew by nearly 36 per cent to $18.8 billion in 2019-20, from $13.8 billion in 2018-19.