Reuters reports Wise said access to the system will allow it to bypass intermediary banks that process and settle funds in Japan, lowering fees and processing times.
If Wise does as it aims, this could increase pressure and competition within the Japanese payments market. According to World Bank data, the cost of remittances in Japan is the second highest of the G20 countries, at 6.94%. Wise reports their average fee for cross border payments is 0.67%.
This move comes after Wise gained its license from the Reserve Bank of India, taking on the Indian remittances market.
