dLocal and Western Union have expanded their partnership in Africa to include remittance payouts.

The move builds on the collections work the two companies already do together. Cameroon is the first market, with a live payout corridor.

Under the deal, dLocal provides the technology and connection layer. Meanwhile, regulated local partners carry out the payment and payout services.

Through this setup, recipients in Cameroon will be able to receive money directly into supported local wallets.

Local partners, either mobile network operators (MNOs) or financial institutions, make these payouts under the relevant local rules.

Cameroon is one of the region’s more fragmented, wallet-based markets. In the past, recipients there had few reliable ways to receive money.

In addition, the expansion gives Western Union a firmer base for using one partner across both collections and payouts.

The companies say this should support the continued growth of digital remittance corridors in emerging markets.

Western Union says its priority is to make sure customers get their money reliably, wherever they are.

“Extending our work with dLocal into payouts means we can offer that same reliability on the disbursement side too, starting in markets like Cameroon,”

said Mohamed Touhami El Ouazzani, Regional Vice President and Head of Africa at Western Union.

“Half a remittance solved is still half a problem. With Western Union, we’re working together to close that gap, building a more consistent path from send to receipt,”

said Agustin Botta, Head of EMEA at dLocal.

Together, the two companies aim to build a more consistent path from send to receipt.

Featured image: Edited by Fintech News UAE, based on image by dit26978 via Magnific.