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MoneyGram International has announced a strategic partnership with African fintech NALA to introduce faster and cheaper cross-border payment solutions using stable coin settlement.
In a statement, MoneyGram said the collaboration will leverage digital dollar-based stable coins to enable near real-time settlement of international transfers, while allowing recipients to receive funds in their local currencies.
MoneyGram described stablecoin settlement as a real-time model for modern cross-border payouts, highlighting its potential to eliminate delays and reduce the high transaction costs typically associated with traditional remittance systems.
Under the arrangement, NALA will integrate MoneyGram’s global payment network with blockchain-based infrastructure, enabling funds sent in digital dollars to be converted and paid out instantly in local currencies across multiple markets.
Cross-border payments have long been plagued by high fees, slow processing times and reliance on intermediary banks.
MoneyGram and NALA aim to bypass traditional banking rails, significantly lowering costs and improving transaction speed.
The development is expected to have far-reaching implications for African economies, where remittances are a critical source of foreign currency and household income.
In Zimbabwe, diaspora remittances contribute billions of US dollars annually and remain one of the country’s most stable inflows of foreign exchange.
Faster and cheaper transfer options could increase the value received by households by reducing fees and exchange rate losses.
The use of digital dollar settlement also aligns with Zimbabwe’s dollar economy where the US dollar is widely used for transactions.
The partnership underscores the growing role of fintech companies in transforming Africa’s payments landscape, where mobile money and digital platforms have already expanded financial inclusion.
For NALA, which has been expanding its footprint beyond Africa into Asia, the deal represents a significant step in scaling its cross-border payments infrastructure.
MoneyGram has been increasingly investing in blockchain and digital asset technologies as part of efforts to modernise its services and remain competitive in a rapidly evolving global payments industry.
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