Recently, Western Union has declared its forthcoming business endeavor in Cuba and in line with that, it is projected to compete with Paypal as well.
It goes without saying that Cuba is seen as the new frontier for businesses to thrive. Even money transfers have made their way into the once closed regions of Cuba. Based in a report rendered by Reuters, "Western Union Co (WU.N) said on Monday it would expand in Cuba, at a time when U.S. President Barack Obama started a historic Cuba tour as the two countries attempt to rebuild their bilateral relationship."
The same post added in the report that Cuba has already affirmed the loosening of its restrictions and even the U.S. government also confirmed and supported Cuba's move by allowing U.S. banks to process dollar transactions for Cuba, given that requirements and proper measures are met.
Meanwhile,since the company has expanded its operations in Cuba, it would go head to head with Paypal's money transfer service as well. A former report from Jobs & Hire confirmed the presence of Paypal in the region and its main banner for its money transfer services is Xoom. As for Western Union, it is one of the world's largest money-transfer firm and it aims to launch its services in Cuba by the end of the second quarter.
With that being said, Western Union is not at all baffled by the competition. Both firms offer exemplary services and it remains to be seen how these business enterprises would fare in the new waters.
