Financial services provider FNB and multinational payment card services company Mastercard on November 11 launched Globba, a cross-border payments solution powered by Mastercard Move.

The product aims to simplify and secure the way South Africans send money abroad, with research indicating that people in the country are considerable senders, and that there is a need for money to be sent and accessed quicky, efficiently and cost-effectively, FNB Personal Segment Lytania Johnson explained at the launch in Sandton.

Available through the FNB and RMB Private Banking apps, Globba leverages Mastercard Move, Mastercard’s portfolio of global money movement capabilities, to deliver efficient, transparent and traceable international payments to more than 120 countries, with 45 of these being in Africa, Mastercard Eastern Europe, Middle East and Africa commercial and payment flows executive VP Onur Kursun informed.

Mastercard Move provides direct disbursers, banks, non-bank financial institutions and their customers with fast, secure money transfer solutions, domestically and internationally.

Globba is a person-to-person cross-border payments solution, providing FNB-banked customers with a vast global reach to bank accounts, mobile wallets and cash-pick up locations.

Fees for transfers start off at R30, and increases at varied rates depending on the amount sent, as well as the medium of bank accounts, mobile wallets or cash pick-up. The beneficiary receives the funds in near real-time.

The solutions is aimed at low-value remittances, FNB private CEO Sizwe Nxedlana pointed out.

Porter highlighted that a major differentiator for the product is its availability on the banking app, allowing customers to make payments directly from here, rather than depending on a standalone product.

Globba is targeting strengthening key remittance corridors such as Zimbabwe, Malawi, Mozambique and Ghana.

Both companies emphasised their commitment to financial inclusion and this solution was highlighted as one of the levers to engender this.

This was reiterated by the South African Reserve Bank national payment system department head Tim Masela, who said that it was good building block by the partnership to shift people from informal to formal, and would help to mitigate the first- and last-mile issues they face with cross-border transfers.

He added that it would provide a proper channel to mitigate against illegal cross-border flows.

Looking ahead, the two companies intend to continue collaborating to expand the service offering across FNB’s network across Africa, subject to regulatory approvals.

Porter emphasised that expansion was key, with the aim to meet client demand and see an uptake of the service, and expand from South Africa to FNB’s subsidiaries across the continent.

The entities are also exploring the potential to offer the service to those beyond FNB’s customers.

Porter highlighted that a successful outcome for the company would be if the solution solved for the physical issue clients encounter with cross-border payments, and if they are satisfied with the offering.

“Globba represents a powerful platform for inclusion, speed and transparency. . . Globba delivers on all fronts, enabling seamless cross-border payments that empower lives and families. It’s more than a service; it’s a statement of intent, setting the pace for the future of financial connectivity across Africa and beyond,” Johnson avers.

“Cross-border payments are the cornerstone of Africa’s digital economy, connecting families, fuelling SMEs and supporting regional trade. With Mastercard Move’s innovative solutions, we’re empowering FNB customers with greater choice and flexibility in how they send money – locally and across borders. This enhances transparency and builds confidence in cross-border transactions, ensuring South Africans can fully and securely participate in the digital economy,” Kursun said.

The launch also aligns with South Africa’s upcoming G20 Finance Track in November, where the modernisation of cross-border payments is a focal point.