Telecom companies continue to embrace and uplift the Fintech sector as observed in a recent announcement by Africa’s telecom giant, MTN. MTN partners with Mastercard and UBA to enable online payments for MTN MoMo users in 16 countries in the Sub-Saharan region in Africa.
Also read: 56 schools receive solar kits under MTN Light up a village project
This move would connect Mastercard’s virtual payment solution to MoMo customers’ accounts, allowing them to make payments to well-known global e-commerce brands for items like travel, lodging, shopping, entertainment and streaming services.
MTN Group Chief Digital and Fintech Officer, Serigne Dioum said “We are very excited about this partnership with Mastercard, which is another step in realizing our ambition to build Africa’s largest fintech platform, accelerating economic and social development through digital innovation to the benefit of citizens across the continent and beyond.”
The Executive Vice President for Market Development, Mastercard Middle East and Africa, Amnah Ajmal explained “The significant milestone will enable millions of MTN customers to benefit from global digital commerce and drive digital and financial inclusion across Africa through easy and secure access to financial services.”
She further explained saying, “At Mastercard, our innovation strategy is based on partnerships and collaboration. This agreement with MTN shows that we can deliver innovative digital solutions that have a far-reaching impact and realize the true potential of inclusive growth across the continent. Partnering with MTN allows us to accelerate our global pledge to connect 1 billion people to the digital economy by 2025, bringing us closer to a world beyond cash.”
MTN partners with Mastercard to introduce virtual card extension
MTN partners with Mastercard in a new initiative to allow customers to use a virtual card to carry out payments and MTN MoMo users don’t need to own a bank account to get started. This is encouraging for many people since they don’t own bank accounts. Several people in Africa have resorted to relying on mobile money accounts provided by Telecom companies to save their money compared to using banks.
MTN and Mastercard have worked together before to introduce virtual card payments for MTN customers as the first launch took place in 2018 in Uganda which unveiled the MoMo card. This recent communication will be an extension of the 2018 launch which will cover more countries in Africa and will also go beyond offering just payment solutions. MTN MoMo customers will now get access to other functions like insurance and loans.
Just like the recent announcement where MTN partners with Mastercard, Airtel Uganda unveiled the cardless payment solution with Mastercard where Airtel customers will get a digital card. The digital card will give customers access to merchants who accept payments by Mastercard and also increasing the customer base for many of these merchants.
Read more: Airtel Uganda announces the new Airtel Money Mastercard
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