Western Union Co will stop domestic money transfers in Russia from 1 April, the world's largest money transfer company said, focusing instead on cross-border business at a time of increased competition in the Russian market.

Western Union has had a presence in Russia for more than 30 years, but the development of interbank payments in Russia, which offer free and instant transactions, has made the need for the money transfer service less acute.

“From April 1, 2022, Western Union terminates internal money transfers in Russia,” the company said in an emailed response to Reuters.

“The company is focusing on developing the traditionally sought services of international money transfers,” the statement said.

The decision comes amid the growing popularity of interbank transfers using a cell phone number in Russia.