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IDT Corporation (NYSE: IDT) said today that it has established an
international remittance clearinghouse (RCH) for mobile network
operators.
The RCH facilitates connectivity between traditional, cash-based, money
transfer operators and mobile wallets utilizing IDT’s economical
transaction settlement and foreign currency exchange services. These
services will enable mobile network operators to expand their reach
particularly into unbanked immigrant populations in developed countries.
IDT will launch RCH services with Smart Communications, Inc. and Globe
Telecom in the Philippines. Smart and Globe serve about 69 million
subscribers and nearly 10 million mobile wallets in aggregate. Utilizing
IDT’s RCH, Smart Money account holders and Globe’s GCASH account holders
will be able to receive proceeds from traditional cash based money
transfer transactions and be able to use those funds to make payments or
withdraw cash in minutes.
“Our remittance clearinghouse enables mobile network operators to
economically access the traditional international remittance flows and
expand the reach of their mobile wallet infrastructures,” said David
Weiss, EVP, Global Banking and Network Products for IDT.
IDT Financial Services (IDTFS) Ltd, a licensed bank headquartered in
Gibraltar, will conduct all banking related activities for the RCH
including transaction processing, foreign exchange management and
settlement of funds within the ecosystem. IDTFS will also assure
regulatory compliance and integrity for remittance clearinghouse
operations.
Remittances initiated by immigrants in developed countries are a large
and growing segment of the approximately $325 billion dollars in global
remittances sent annually to developing countries. IDT plans to leverage
its relationship with over 200 mobile operators worldwide, its banking
capabilities provided by IDTFS, and its worldwide distribution reach
serving immigrant populations to enable remittances from developed
countries to developing countries on a global scale. Potential RCH
clients include both carriers and traditional cash-based money transfer
organizations.
ABOUT IDT CORPORATION:
IDT
Corporation (NYSE:IDT) is a consumer services company with
operations primarily in the telecommunications and energy industries.
Learn more at www.idt.net.
ABOUT IDTFS:
IDT Financial Services Limited is a regulated bank, licensed by the
Financial Services Commission (FSC), Gibraltar, under the Banking Act
1992. IDT Financial Services Limited is a wholly owned subsidiary of IDT
Corporation
ABOUT SMART COMMUNICATIONS, INC.:
Smart Communications, Inc. is the Philippines’ leading wireless services
provider with 45.6 million subscribers on its GSM network as of
end-December 2010. Smart has built a reputation for innovation, having
introduced world-first wireless data services, including mobile commerce
services such as Smart Money, Smart Load and Smart Padala. Since 2000,
Smart has been actively promoting mobile commerce usage in the
Philippines through various services that run on the Smart Money
Platform, benefitting over 8.5 million Filipinos using Smart Money.
Smart also offers 3G and HSPA services. Its Smart Link service provides
communications to the global maritime industry. Smart Broadband, Inc., a
wholly-owned subsidiary, offers a wireless broadband service, Smart BRO,
with 1.35 million subscribers as of end-December 2010. Smart is a
wholly-owned subsidiary of the Philippines’ leading telecommunications
carrier, the Philippine Long Distance Telephone Company. For more
information, visit www.smart.com.ph.
ABOUT GLOBE TELECOM’S GXI AND GCASH:
G-Xchange, Inc. (GXI) is a pillar in m-commerce and a fully owned
subsidiary of Globe Telecom, a leading full-service telecommunications
company in the Philippines. GXI pioneered the mobile commerce service
called GCASH, launched in the Philippines in October 2004. GCASH is an
internationally acclaimed micro-payment service that transforms a mobile
phone into a virtual wallet for secure, fast, and convenient money
transfers at the speed and cost of a text message. Since the GCASH
launch, GXI has established a wide network of local and international
partners that includes government agencies, utility companies,
cooperatives, insurance companies, remittance companies, universities,
and commercial establishments offering GCASH services. GXI made a major
breakthrough in being the first non-bank institution to launch a
customizable ATM Card linked to a mobile wallet. The GCASH Card provides
subscribers 24/7 access to over 9,000 ATMS in the Philippines. For more
information, visit www.globe.com.ph/gcash/.
IDT Corporation
Bill Ulrey, 973-438-3553
invest@idt.net
