Western Union ties up with 8,500 post offices

Money transfer services provider Western Union Financial has tied up with 8,500 post offices in the country to penetrate into the rural heartland targetting the $43 billion foreign currency market in India.

"The company has tied up with 8,500 post offices in the country and we want to expand into rural areas by having tie-ups with banks and post offices," Western Union (South and South East Asia) Managing Director Anil Kapur said.

"Western Union, which has presence in major towns and cities is focusing on taking business into rural areas of Maharashtra, Uttar Pradesh, Bihar and Karnataka," Kapur told PTI.

The money transfer services provider follows the agent-model whereby it has tied up with post offices and various banks to offer its services. In 2001, the company had 3,000 agents and now it has 50,000.

In Q4 of 2008, the company said it grew 50 per cent year on year, but did not give any figures to validate it.

"We expect to grow at a healthy rate," Kapur added.