Mastercard on how to accelerate financial inclusion amid the COVID-19 crisis

The great lock-down as it has come to be called accelerated the need for innovative ways as it became more evident that getting financial support to those most in need had become a practical challenge. But how quick could countries accelerate financial inclusion, Raghav Prasad, Division President, Sub-Saharan Africa, Mastercard joins CNBC Africa for more.

Tue, 30 Jun 2020 10:11:00 GMT

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AI Generated Summary

Mastercard's focus on supporting consumers and businesses through partnerships with major players like Globo, Naira Box, and Tuscany Supermarket in Saharan Africa.
Initiatives to expand contactless payments and digitize social security benefits to promote safe and convenient financial transactions during the pandemic.
Commitment to onboard an additional 500 million consumers globally and empower women entrepreneurs to bridge the gender gap in financial inclusion.

The COVID-19 pandemic has brought about unprecedented challenges for economies across the globe, impacting various sectors including finance. Raghav Prasad, the Division President of Sub-Saharan Africa for Mastercard, highlighted the crucial role of innovative solutions in accelerating financial inclusion during these trying times. The focus has shifted towards supporting consumers and businesses to navigate through the crisis and emerge stronger on the other side. Prasad emphasized the importance of collaborative efforts among stakeholders to drive financial inclusion initiatives faster and more efficiently. As the world battles the economic repercussions of the pandemic, Prasad shed light on Mastercard's strategic interventions aimed at supporting governments, banks, and FinTech companies to strengthen financial systems and enhance digital payment infrastructure. In regions like Saharan Africa, partnerships with major players such as Globo, Naira Box in Nigeria, and Tuscany Supermarket in Kenya have enabled Mastercard to offer consumers benefits like free delivery and reduced prices, making their lives easier during the lockdown period. A key area of focus for Mastercard has been the expansion of contactless payments and digitization of social security benefits. With health concerns surrounding the use of cash, the push for contactless payment solutions has gained momentum. Prasad highlighted initiatives in Tanzania where collaboration with the public transport network facilitated the introduction of QR payments, providing a convenient and safe payment option for users. The aim is to foster financial inclusion even among the most vulnerable populations, enabling them to participate in digital transactions and savings. In line with its commitment to promote digital inclusion, Mastercard has set ambitious targets to onboard an additional 500 million consumers globally over the next five years. The company also aims to support micro and small merchants, recognizing their critical role in driving economic growth. Furthermore, Mastercard is actively working towards bridging the gender gap in financial inclusion by empowering women entrepreneurs and integrating them into the financially inclusive ecosystem. Prasad reiterated the importance of leveraging partnerships with governments, financial institutions, and technology providers to fast-track financial inclusion efforts. By working collaboratively and deploying scalable solutions, Mastercard seeks to create a more inclusive financial landscape that caters to the evolving needs of consumers and businesses in a post-pandemic world. As countries strive to rebuild their economies and navigate the challenges posed by the ongoing crisis, initiatives like those championed by Mastercard are instrumental in driving sustainable growth and fostering financial resilience among individuals and businesses globally.