Africa’s no 1 mobile network MTN has fussed hands with leading payment platform Mastercard to Include online payment interface to its mobile wallet for user across its fintech footprint.
In a public report, South Africa-based MTN stated that it has fussed hands with Mastercard, words leading payment Platform to ensure MoMo (Mobile Money) users payment service in all the 16 countries in Sub-Saharan Africa where MTN Money operates.
According to the report, MoMo users on the MTN network will be able to ustilize Mastercard virtual payment solution linked to their MoMo wallets, for“shoping at well-known global e-commerce brands and pay quickly and securely for leisure shopping, travel, accommodation, entertainment, streaming services and many more.”
Furthermore, owners of small business enterprise, with the payment feature will thus enable them “to purchase from suppliers abroad.
This should in no doubt be a well taking news for Amazon and Alibaba in particular.
In lime with MTN Group Chief Digital and Fintech Officer Serigne Dioum who stated: “We are very excited about this partnership with Mastercard, which is another step in inclined to build Africa’s largest fintech platform, and our ambition of promoting economic and social economic development through digital innovation to the benefit of citizens across the continent and beyond,”
He further went on to say that: “This profound partnership is thus a unique step to allow our customers to engage in global economy. We are therefore resolute that accelerated financial inclusion is a potent enabler of socio-economic development that will empower the most vulnerable in society,”.
“This sizeable milestone will permit tens of millions of MTN clients the advantage from global virtual commerce and further drive digital and financial inclusion across Africa via smooth entry to economic offerings,” stated Amnah Ajmal, executive vice chairman for marketplace development, MasterCard center East and Africa. “At credit card, our innovation strategy is based on partnerships and collaboration.
In continuation he said: “This agreement with MTN suggests that we are able to supply progressive digital solutions which have a much-accomplishing effect and understand the real capability of inclusive growth throughout the continent. Partnering with MTN allows us to boost up our international pledge to connect 1 billion people to the digital economic system with the aid of 2025, bringing us towards a world past cash.”
Mobile wallet and mobile payment are are no doubt important services for the African consumers, not because there is a huge unbanked population that is unable to do online transactions, but also, thanks to the lack of fixed internet infrastructure, mobile devices are the primary, often only, internet access points.
All the four so-called Pan-African operators, MTN, Orange, Vodacom/Safaricom, and Airtel, have offered their money mobile solutions. MTN and Vodacom’s mobile money solutions include loans, insurance, money transfer and payment. Orange has gone one step further with the launch of its digital bank, Orange Bank Africa, in Côte d’Ivoire in July 2020.
The new partnership announced today between MTN and Mastercard is both an upgrade and an expansion of an earlier offering the two companies jointly delivered in Uganda in 2018, called MoMocard. The difference from the earlier intersection of the solution is not only in its territorial expansion, but also the need for customers to have a bank account to use the new service.
Meanwhile, According to MTN, it’s MoMo active users have clocked 22.2 million. Back then around 2018 when the first Mastercard partnership was announced, it also involved United Bank for Africa. It was not clear how much opening a virtual card would cost a user, or anything at all. Although as at when it was later introduced in Uganda two years ago, opening a card would cost UGX 1,000 ($0.27).
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