Will activate 65k ItzCash outlets in 3-5 years: Thomas Cook

Thomas Cook (India) has signed a strategic deal with ItzCash in order to tap the unbanked inward remittance market. Inward remittances mean receipt of funds acquired either locally or from offshore locations (or accounts). Speaking to CNBC-TV18, Mahesh Iyer, Chief Operating Officer- Foreign Exchange and Head- Visas, of the company, says Thomas Cook is the principal agency for Xpress Money and MoneyGram International Inc in India, via which the money is transferred by people working abroad who do not have access to formal banking channels.“Currently, inward remittances contribute about 10 percent of the foreign exchange revenues of the company and we expect this tie-up to increase our distribution from the current 15,000 to about 20,000 [outlets],” he adds.In the first phase, the company is likely to add up 5,000 locations of ItzCash and over next three to five years, it will activate all the 65,000 outlets, Iyer adds.“From a margin revenue share point of view we are equal partners; this product runs at around close to about one percent margin and we will share 50 percent of that with ItzCash,” he says.