I-Remit to operate in 29 EU countriesManila Bulletin, Tuesday, April 26, 2011
MANILA, Philippines – I-Remit Inc. reported that its wholly owned subsidiary I-Remit Global Remittance Limited (IGRL) has obtained a license that will allow it to operate in the United Kingdom and 29 other European states.
In a disclosure to the Philippine Stock Exchange, I-Remit said the Financial Services Authority (FSA) of the United Kingdom has approved the registration of IGRL as an authorized payment institution (API) under the European Payment Services Directive (PSD).
An API is a firm authorized to provide one or more payment services, including money remittance, and must comply with the prescribed capital and safeguarding requirements.
As an API, IGRL can exercise ‘passporting’ rights and will be entitled to carry on its activities in other EEA states by establishing branches or providings cross-border services.
There are 29 EEA states with passporting rights: Austria, Belgium, Bulgaria, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, The Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain and Sweden.
I-Remit said it intends to use the passporting rights of IGRL to reorganize its current remittance outlets in Europe consisting of its subsidiaries in Austria (with branches in Italy) and its tie-up arrangements in Ireland, The Netherlands, Spain and Greece.
The PSD is a legislation adopted by the European Union setting a legal framework for payments within the European Economic Area (EEA) that aims to harmonize laws across Europe pertaining to the provision of payment services, including money transfer services.
The FSA is an independent body that regulates the financial services industry in the UK and it has been given a wide rate of rule-making, investigatory and enforcement powers by the Financial Services and Markets Act 2000 of the UK. (JAL)