Why using 80eight for cross-border remittances is the smart move to make

In 2024, remittances to Africa surged to a record $96.4 billion, outpacing official development assistance by more than double.

These are a huge part of the African economy. In countries like The Gambia and Lesotho, remittances account for more than 20% of GDP.

But here’s the problem: the World Bank estimates remittance costs at an average 8.4%, but for smaller amounts the figures can be extortionate. For example, sending money from Tanzania to Kenya can cost 17%, while intra-African transfers often cost more than 20%. Sending money from South Africa to Lesotho costs around R550 for a small transfer.

This cannot go on. And if you are an 80eight client, you’ll know that we’ve solved the problem.

80eight has developed a solution that is faster than traditional banks and payment companies and costs around 1%.

Volatile exchange rates in recipient countries amplify foreign exchange margins, which account for 35% of costs continent-wide and over 80% in some corridors. Low financial inclusion – only 37% of sub-Saharan Africans have internet access – limits digital options, forcing reliance on cash-based channels with higher overheads.

Digital leaps, like mobile money in Kenya (accounting for 4.6% of GDP in inflows), show promise, but scaling requires harmonised regulations and tech investment.

At 80eight, we’ve shown there are smarter, cheaper ways to move money. It shouldn’t take days to arrive. It should be virtually instant.

Contact us to find out more.