Aminata, a Senegalese student living in Paris, balances her university studies with a part-time job at a bookstore during weekends and evenings. Despite the demands of her academic and professional life, Aminata often thinks of her family back in Senegal. Her parents, siblings, and elderly family members rely on her financial support to meet their needs.

For Aminata, money transfers are not merely financial transactions, but lifelines that connect her to her family, providing essential support that spans continents. Every euro she earns is meticulously allocated to her loved ones’ needs, whether it’s to cover medical bills, buy groceries, or help with rent payments.

Money transfers are crucial for the survival of Aminata’s family, and she is not alone in this situation. Today, approximately 140,000 Senegalese living in France and Europe face similar daily challenges.

This article is designed to provide a comprehensive guide, not only to understand the legal and tax aspects of these transactions but also to choose the most suitable transfer method for your specific needs, whether for education or healthcare. We will explore the fastest, least expensive, and most appropriate options for sending or receiving money in Senegal.

What Are the Different Ways to Send and Receive Money in Senegal?

Senegal has made notable progress in financial inclusion in recent years.

The increasing adoption of mobile phones and the internet has enabled the rise of digital financial services, expanding access well beyond traditional banking networks.

Mobile wallets, in particular, have revolutionized payments and money transfers, allowing millions of Senegalese to access secure and reliable financial services without needing a traditional bank account.

1 – Traditional Banks

Traditional banking services are among the reliable and secure options for sending and receiving money in Senegal.

Advantages:

  • Security and Trust: Banks are regulated by financial oversight bodies, offering a high level of security and protection for your funds.
  • Complementary Services: In addition to money transfers, banks offer a range of financial services, such as investment advice, loans, and credit facilities.
  • Direct International Transfers: You can send money directly from your bank account to one in Senegal, simplifying the process without the need for intermediaries.

Disadvantages:

  • High Costs: Transfer fees and exchange rates can be particularly high. Additional costs can accumulate, especially for frequent or large transfers.
  • Slower Process: Processing international transfers can take several business days, which is not ideal for emergency situations like healthcare needs.
  • Complexity and Documentation Requirements: Sending funds abroad through banks may require comprehensive documentation and administrative formalities, making the process sometimes cumbersome.
  • Need for a Bank Account: This requirement can be a major barrier, especially in Senegal where a significant portion of the population does not have access to traditional banking services and about 30% do not have an identity card. This financial barrier limits access to money transfers for those who may need it most.

2 – Online Services and Mobile Apps

Online services such as Wise (formerly TransferWise), WorldRemit, PayPal, Venmo, and Cash App have revolutionized the way we send and receive money around the world.

They offer a convenient and often more economical alternative to traditional money transfer methods, suited to our digital age.

Further on in this article, you will discover our ranking of the fastest and least expensive ways to send or receive money in Senegal.

Advantages:

  • Speed and Ease of Use: These platforms enable fast, often instant, money transfers with a simple online operation or via a mobile app. Their intuitive user interface makes the process accessible to everyone.
  • Cost-Effective: The fees charged by these services are generally lower than those of traditional banks, especially for international transactions. They also offer competitive exchange rates, which can lead to significant savings.

Disadvantages:

  • Necessity of an Account on the Same Platform: To receive money via these services, the recipient often needs to have an account. This can be a barrier for people who are not accustomed to using such services or who do not have access to technological means in Senegal (especially since 42% of the population does not have internet access).
  • Lack of Personalization for Specific Needs: These services are not specifically designed for needs such as healthcare access. They do not provide assurance that every penny transferred will be used for medical purposes or to improve the well-being of loved ones.
  • Lack of Transparency and Tracking: Although these platforms offer some transparency regarding fees and the transfer process, they do not provide a detailed mechanism to track how the funds are specifically used once received. This is crucial for donors who want to ensure that their financial support is directly allocated to specific needs, such as healthcare for their loved ones.
  • Geographic Limitation: Often, these applications are designed to operate primarily within a single country or specific region, which poses a problem for immigrants wishing to financially support their loved ones in Senegal.
  • Data Security: Although these apps take measures to protect users’ financial information, concerns about the security of personal data remain.

3 – Online Health Credits

One of the biggest challenges of sending money to Senegal is that only 42% of adults have a formal bank account, including mobile accounts. (1)

Although Senegal is traditionally a cash-dominated market, the adoption of financial technologies is progressing. The Senegalese government has expressed interest in developing digital currency solutions, even considering the creation of a central bank digital currency (CBDC).

However, these initiatives are still in their early stages of development, and few households are yet educated about these new technologies.

But growing projects are emerging to facilitate fund transfers via mobile wallets in partnerships with the International Fund for Agricultural Development, such as InTouch and Orange Money.

If you wish to support your loved ones in Senegal, especially in healthcare, health credits offer a solution that combines speed, security, and positive impact.

KimboCare was born from the experience of two African immigrants, facing challenges in supporting the health of their loved ones in Africa while navigating their own lives in the USA and Europe, a story similar to that of Aminata mentioned in the introduction.

This story is not unique, but our response to this challenge is completely unique.

We created KimboCare to transform the way we care for our families from afar, whether in Senegal or other developing countries.

Now, you can purchase digital health credits so your loved ones can access preventive and curative healthcare services without needing a bank account or a digital currency platform.

This process is simple, direct, and can be performed from anywhere, at any time. These credits will be immediately usable by patients who will be welcomed in medical facilities always verified and controlled by KimboCare.

Rather than simply sending money, often without a guarantee that it will be used for necessary healthcare or without being able to ensure the quality of care received, health credits offer a transparent and secure solution.

You thus get real-time tracking of the medical services purchased with the health credits, ensuring that every penny truly contributes to the health and well-being of the recipient.

The commitment lies in empowering vulnerable populations, particularly women and children, to access quality healthcare, thus contributing to a longer and healthier life.

The utility of health credits lies in the protection of your data with advanced encryption protocols, offering you additional peace of mind in contributing to the health of your loved ones.

CTA – Discover how to finance access to healthcare for your loved ones in Senegal with KimboCare!

The Fastest Ways to Send or Receive Money in Senegal

To send or receive money quickly in Senegal, several options are available, each with its own specifics, advantages, and limitations. It is crucial to choose the method that best suits your needs, while considering speed, costs, and specific requirements.

Health Credits

By purchasing health credits, you can ensure that your financial support is directly used for quality health services.

For urgent health needs, prioritize services offering instant or same-day transfers.

Platforms like KimboCare directly inform the patient via SMS or a call.

Not only does this allow for an efficient and fast transfer of funds, but it also ensures that your money contributes to a vital cause: the health of your loved ones.

Purchasing health credits frees you from the uncertainties and delays often associated with traditional money transfers.

When you buy health credits for a loved one in Senegal, the beneficiary can access necessary care without waiting, thanks to a network of reliable and verified medical partners.

Moreover, you benefit from total transparency and real-time traceability of the medical services delivered, which is not always the case with other money transfer methods.

Online Services and Mobile Apps

Online services and mobile apps are often the fastest for money transfers.

Platforms like PayPal, Western Union, WorldRemit, and TransferWise (now Wise) enable nearly instantaneous transfers.

However, it is important to note that these speeds can vary depending on the amount sent and the necessary security checks.

Some platforms limit the amount you can send over a given period without additional verification, while others may require detailed information about the recipient for compliance reasons.

Moreover, while mobile wallets allow for instant transfers, the lack of digital payments in Senegal means that your recipient may not be able to access the money immediately, or at least use it quickly.

This is partly because the digital payment system in Senegal is not sufficiently developed.

Even if your loved ones have a digital account, they will still need to withdraw cash to pay for most goods or services.

Some companies charge high fees for withdrawing money from their system. For example, PayPal charges about 5%, which is comparable to a bank transfer fee.

International Banks

International bank transfers can also be quick, especially if both parties use the same bank or banks with cooperation agreements.

Nevertheless, interbank transfers can be subject to delays due to stricter verification processes and the need to go through clearing systems.

Amount limits and specific requirements vary significantly from one bank to another.

This is particularly important in Senegal, where most households are limited in their withdrawals because some banks impose daily limits.

Additionally, it should be noted that the Senegalese banking system is not easily accessible, with only 6.5 ATMs per 100,000 inhabitants.

In a country where cash payments are preferred, this makes transferred funds less accessible to your loved ones.

Least Expensive Ways to Send or Receive Money in Senegal

Sending or receiving money from a loved one involves adopting a strategic approach to minimize costs while ensuring the security and efficiency of transactions.

Online services and mobile apps often offer more favorable rates than traditional banks, thanks to their reduced cost structures.

Although PayPal is better known for online payments, Xoom, a service of PayPal, is optimized for international transfers, offering reasonable fees and competitive exchange rates.

The biggest issue is obtaining a good exchange rate.

Even if you send the same amount of money each time, the actual amount your family receives can vary.

Currently, the exchange rate between the dollar and the CFA franc is about 600 francs.

Before choosing a service, compare transaction fees, applied exchange rates, and look for reviews to ensure reliability and security.

Opting for platforms that offer a transparent exchange rate closest to the market rate without hidden fees can greatly reduce the costs of transferring money to Senegal.

Despite a notable adoption rate of 32% for mobile money accounts among Senegalese, it is interesting to note that most money transfers in the country are still received in cash, rather than being transferred directly to mobile wallets.

Is it Possible to Transfer Money with Zero Fees?

Platforms like TransferWise (now Wise) and Remitly are known for their competitive costs and transparency.

While the offer of fee-free money transfers may seem appealing, it can often be misleading, especially in countries like Senegal.

Money transfer companies need to generate revenue to operate, and if they don’t charge explicit transfer fees, they may recover these costs in other ways.

This can include applying exchange rates.

Senegal uses the CFA Franc (XOF), which is pegged to the Euro at a fixed rate of about 600 CFA Francs for 1 Euro. This pegging provides some monetary stability against fluctuations in major currencies like the US dollar.

However, this also means that fluctuations of the Euro relative to other currencies can indirectly affect the value of the CFA Franc in terms of money.

It is therefore important to be vigilant about hidden fees, which can appear as additional service charges or indirect costs.

Carefully reading the service terms can spare you from unpleasant surprises.

When the purpose of your money transfer is specifically related to supporting the healthcare needs of your loved ones in Senegal, purchasing health credits emerges as an innovative solution offering affordable costs.

This guarantees that your loved ones receive the necessary best healthcare while avoiding unnecessary fees or exchange rate fluctuations.

You know precisely which care was provided, when, and at what cost, ensuring that your contribution has the desired impact.

Moreover, no money transfer is necessary, so you minimize the risk of hidden fees.

Transferring Funds to Senegal Based on Different Needs

Sending money to Senegal goes well beyond the simple transaction; it’s a manifestation of support, love, and investment in the future of your loved ones.

Whether it’s promoting access to education or ensuring family health, every CFA Franc sent carries with it the potential for change and empowerment, enabling your loved ones to pursue their dreams and build a better future for themselves and their communities.

Education and Employment

Investing in education is a priority for many families.

Cash transfers designated for tuition fees, books, equipment, and supplies can be made via banks or online transfer services that offer direct delivery options to educational institutions or specific bank accounts.

This direct approach minimizes intermediaries and ensures that the funds reach their intended purpose.

Furthermore, it should be noted that in Senegal, many people are unemployed.

Take, for example, Aïcha, a young Senegalese woman living in the Thiès region. Like many of her compatriots, she has faced a highly competitive job market, and the limited opportunities have prevented her from finding stable employment after her secondary education. 

Her sister, Marième, who managed to emigrate to France and now works as a nurse in Paris, plays a crucial role in supporting her family back in Senegal.

Every month, Marième sends about 250 euros to her family, a sum that, while modest in France, represents significant support for Aïcha and her family.

With these transfers, Aïcha does more than just meet her basic needs; she has also been able to enroll in professional training courses in management, which improves her chances of securing stable employment.

This direct financial support has allowed Aïcha to stay away from financial pressure and focus on her personal and professional development.

Health

When it comes to caring for those who are far away, the biggest concern is often ensuring that the aid sent truly reaches its intended purpose, especially in terms of health.

This concern is even more palpable in Senegal, where finding a competent and reliable health professional can quickly become a significant challenge, particularly in emergency situations.

Navigating the Senegalese health system can be complex, marked by prolonged waiting times, unexpected costs, and sometimes uncertain quality of care. These challenges are especially acute outside of major cities like Dakar, where medical resources can be limited.

Take, for example, Fatou, a young mother living in Thiès. Despite the presence of healthcare facilities in her region, accessing reliable and affordable health services remains a difficult journey.

Fatou’s brother, Mamadou, who emigrated to France a few years ago, often felt helpless facing the health challenges his sister encountered.

Sending money alone did not guarantee that the funds were being used for quality care. Everything changed when he discovered KimboCare through a colleague also from Senegal.

Using this platform, Mamadou can purchase health credits that are directly assigned to local, reliable, and pre-verified medical providers.

With KimboCare, Fatou was able to consult a qualified doctor and obtain an accurate diagnosis for her recurring symptoms.

The details of her health condition were clearly explained, and a suitable treatment plan was established. She now benefits from regular follow-ups, which were previously difficult to ensure.

This is where KimboCare makes a difference by allowing expatriates to pay directly for preventive and curative health services for their families in Senegal.

We offer you not just a platform; we provide peace of mind, knowing that your financial support directly translates into quality healthcare.

Instead of simply sending money, you can purchase health credits that will be exclusively used for medical care from reliable and verified local medical partners.

This method not only ensures that your funds are used as intended, but it also eliminates the stress and uncertainty associated with managing healthcare from afar.

Furthermore, KimboCare intervenes as needed to coordinate communications with medical staff to ensure the best possible experience for your loved ones.

Thus, you can easily identify reliable medical facilities and, importantly, follow the care and receive feedback from your loved ones themselves.

Nutrition

Ensuring access to adequate and nutritious food is a major concern for many Senegalese expatriates, especially in a context where access to quality food can be complicated by economic constraints.

Sending money to cover food needs not only supports the physical well-being of families but also enriches their happiness and daily security.

Senegalese cuisine, with its rich palette of flavors and traditions, is a vibrant reflection of the country’s cultural diversity.

Essential ingredients such as rice, millet, fish and seafood, along with local oils and spices, are used to create dishes that are much more than simple nourishment for the body – they nourish the soul of the communities.

Take, for example, the famous Thieboudienne, the national dish of Senegal. This fish stew is prepared with rice, vegetables, and fish, all simmered in a rich and spicy tomato sauce that illustrates the fusion of flavors characteristic of Senegalese cuisine.

This dish, at the heart of the country’s culinary identity, symbolizes the deep familial and cultural ties.

Rich soups and stews also play a central role in daily nutrition.

Dishes like Mafé, with its peanut sauce base, and Yassa, marinated in a mixture of lemons and onions, are sources of comfort for those far from home, reminding them of the flavors of their childhood.

These dishes are more than food; they are a link to home for expatriates, and a way to keep traditions alive, even thousands of miles away.

For Senegalese living abroad, sending money home is often more than financial aid; it is a way to ensure that their families can access these traditional ingredients and dishes.

Each money transfer is a way to perpetuate traditions, support local communities, and maintain an essential connection with their cultural heritage.

These acts of support not only strengthen immediate needs but also social and cultural ties, which are essential to the cohesion and well-being of families back home.

Our Safety Tips for Making Money Transfers to Senegal

In an ideal world, sending and receiving money across borders would be as simple and safe as making a phone call.

However, the reality of international money transfers can sometimes be complex, with risks of fraud and scams targeting the most vulnerable individuals.

  1. Verify and Validate Your Fund Destination

Make sure the money you send reaches the person you intend to help.

This might seem obvious, but in urgent situations, mistakes can happen.

Double-check the recipient’s contact details and information before proceeding with any transfer.

We advise opting for recognized and well-established money transfer services that offer complete transparency about the journey of your funds throughout the process.

  1. Do Not Trust Offers That Seem Too Good to Be True

Scammers often use the promise of extremely favorable exchange rates or zero transaction fees to lure their victims.

If an offer seems too good to be true, it probably is.

Similarly, a common scam tactic is to create a sense of urgency, like a fake health problem of a loved one, to push you to send money quickly without verification.

  1. Never Share Your Personal Information

Be vigilant with your personal and financial data. Fraudsters may try to obtain it via phone, email, or social networks.

A legitimate company will never ask you to provide sensitive information through these channels.

It is preferable to turn to a solution where data is protected by advanced encryption protocols and you have access control.

  1. Ensure You Track Your Funds

It is very important to have a record of every money transfer, as it can prove invaluable in case of problems.

This information allows you to trace and contest any suspicious transaction.

After sending money, check with your recipient to confirm the receipt of the funds.

This simple step can help you quickly detect any potential fraud.

The best assistance you can get for sending or receiving money from Senegal is from an agency that ensures every penny is invested in specific needs (like healthcare costs), with zero risk of misappropriation by unreliable intermediaries.

An Overview of Money Transfer Laws in Senegal

Senegal is a growing economy with significant importance in the context of West Africa.

Its currency, the CFA Franc, is pegged to the Euro, which provides monetary stability but also creates dependence on European economic policies.

The country has experienced steady economic growth, with a consistently increasing GDP, although the COVID-19 pandemic temporarily slowed this growth.

Today, money transfers play a crucial role in its development, representing more than 10% of the GDP, according to estimates by the World Bank.

It is the fourth highest recipient of remittances in Sub-Saharan Africa, following Kenya, Ghana, and Nigeria.

In Senegal, the Central Bank of West African States (BCEAO) is the monetary authority regulating money transfers.

It imposes strict guidelines on financial institutions to ensure that all transactions are traceable and transparent.

The BCEAO works in compliance with international standards such as those of the Financial Action Task Force (FATF) to prevent illegal activities.

On the tax front, money transfers to and from Senegal are not subject to a specific remittance tax.

For significant amounts, money transfers exceeding a specified threshold must be declared to the competent authority in Senegal.

This measure aims to monitor significant financial flows and detect any suspicious activity that could indicate money laundering or other forms of financial crime.

Financial inclusion is a fundamental pillar for economic and social development in Senegal.

It not only improves access to financial services for all but also facilitates remittances, which are essential for many Senegalese families.

Governments and financial institutions are crucial in driving financial education and promoting the use of both banking and future digital services.

Programs aimed at informing and educating citizens about money management and the benefits of formal financial services are critical for integrating more Senegalese into the formal economy.

Tax Regulations for Sending or Receiving Money in Senegal

In accordance with BCEAO directives and international laws, Senegal has implemented robust mechanisms to combat money laundering.

Money transfer companies must apply strict “know your customer” (KYC) measures, which require collecting detailed information about clients’ identities, the source of funds, and the purpose of the transfer.

However, for women who are sometimes less likely to have official identification documents or regular access to financial services, KYC measures can pose an additional barrier.

Although Senegal promotes financial inclusion and international money transfers, some restrictions may apply depending on the amount, destination, and frequency of the transfers.

These limits are put in place to prevent abuse and ensure effective monitoring of capital movements.

On the other hand, every transfer requires careful attention to avoid potential hidden fees.

At KimboCare, we emphasize the importance of being well-informed about these aspects, as it not only helps ensure hassle-free money transfers but also supports our mission to ensure equitable and affordable access to services, such as healthcare, for those in need in Senegal.

FAQ

How can I send health credits to loved ones in Senegal?

You can start managing access to reliable healthcare for your loved ones back home in a few easy steps:

  1. Visit app.kimbocare.com or download the free KimboCare app from the App Store or Google Play.
  2. Select the country, medical facility, and health package(s).
  3. Add a beneficiary.
  4. Review your order and make your payment.

That’s it!

Your loved one can now visit the medical facility you selected and benefit from the healthcare services while you track the use and effectiveness of your gift from your tablet or smartphone.

How can I send money to Senegal in the safest way possible?

To ensure the safety of your money transfer to Senegal, choose recognized services with robust security protocols. Always check user reviews and ensure that the service is regulated by competent financial authorities.

If you are sending money to cover healthcare costs, our platform ensures that each financial partner adheres to high security standards, thus guaranteeing that your funds reach your loved ones safely.

Are money transfers to Senegal taxed?

Fiscally, money transfers to and from Senegal are not subject to a specific remittance tax.

For significant amounts, money transfers that exceed a specified threshold must be declared to the competent authority in Senegal.

How long does a money transfer to Senegal take?

Transfer time can vary depending on the service used. Electronic transfers can be instantaneous or take a few hours, while traditional methods like bank transfers can take several business days.

For urgent health needs, prefer services that offer instant or same-day transfers. Some platforms like KimboCare directly inform the patient via SMS or a call.

What are the typical fees associated with sending money to Senegal?

Fees vary widely depending on the service chosen, the amount sent, and the payment method. Some services charge a percentage of the transferred amount, while others apply fixed fees. Look for options offering total transparency on fees to avoid surprises.

Are there any amount limits for sending money to Senegal?

Yes, most money transfer services impose limits, which can vary depending on the transfer method chosen and the service regulations. It’s also important to note that your recipients may face bank withdrawal limits locally.

It is essential to check these limits before making a transfer, especially if you plan to send large sums for needs like covering medical expenses.

How can I ensure I get the best exchange rate when sending money to Senegal?

Compare exchange rates offered by different services before making your transfer. Some services allow locking in a favorable exchange rate in advance or offer more competitive rates for larger amounts. Be wary of hidden fees that can affect the final amount received!

How can my loved ones in Senegal receive money?

Recipients in Senegal can receive money via direct deposits into their bank accounts, cash withdrawals at local service points, or even, for some services, home delivery. Make sure to choose a receipt method that best suits your recipient in terms of convenience and safety.

As for health credits, each purchased credit can then be offered to your loved ones for access to quality care in approved medical facilities.

Sources:

  1. SENE, S. & KA, M.M. (2022). “The effects of gender on financial inclusion: a qualitative approach”, African Scientific Journal, Volume 03, Number 15, pp: 628 – 664.
  1. Determinants of Mobile Financial Service Adoption: An Explanation by Cultural Variables in Senegal – International Review of Scientific Research (Revue-IRS), Vol. 1, No. 4, July 2023.