United Bank Africa (UBA) and MasterCard have announced a partnership which
will see UBA act as the issuer for MasterCard in 18 new markets in Africa. The
partnership which came into effect in the second quarter of 2016 will see UBA
issue MasterCard credit, debit and prepaid cards across these markets.
The partnership will also focus on increased payments infrastructure
across Africa, including the roll out of point-of-sale and mobile-point-of-sale
technology, to ensure merchants are able to accept the cards when introduced
into these markets.
MasterCard and UBA are partnering across the 19 African countries in
which UBA currently operates: Nigeria, Benin, Burkina Faso, Cameroon, Chad,
Cote D’Ivoire, Democratic Republic of Congo, Equatorial Guinea, Ghana, Gabon,
Guinea, Guinea-Bissau, Kenya, Liberia, Mozambique, Republic of Congo, Senegal,
Sierra Leone, Tanzania, Uganda and Zambia.
“As the needs of our customers change, we are adapting through strategic
innovations and partnerships to provide them with excellent and convenient
services. Through these strategic partnerships, we are able to accelerate the
drive for financial inclusion and economic well-being across the African
continent” said Kennedy Uzoka, Group Managing Director-Designate, UBA plc.
Division President for Sub-Saharan Africa, MasterCard,
Daniel Monehin says; “This focus on infrastructure and the roll out
of easy-to-access solutions is a key part of driving financial inclusion and a
move away from cash in these markets. MasterCard’s continued innovation in the
payments space coupled with UBA’s extensive pan-African network will mean the
introduction of increased competition and a stronger financial sector in these
regions.”
According to the World Bank there are approximately 2.5 billion
people who are financially excluded. Access to financial tools creates economic
empowerment and reduces poverty. MasterCard has the tools and resources –
including potential partnerships – to drive real change today.
On June 27, 2016, MasterCard set a goal to connect 40 million
micro and small merchants to its electronic payments network within five years.
This expands on the company’s Universal Financial Access 2020 commitment made
last year.
To date, financial inclusion has been predominantly centered on
providing the underserved and the unbanked with tools and transaction accounts.
This remains a critical need with two billion unbanked people, the majority of
whom are women, forced to operate in a cash economy. In order for financial
inclusion efforts to truly have an impact, there needs to be an equal focus on
both access and usage.
“Collaborating with UBA has allowed for maximum impact when it comes to
changing lives and introducing smarter ways for people to pay in Africa.
Creating financially inclusive societies is dependent on these kinds of
partnerships and we will continue to look for ways to partner in Africa going
forward,” Monehin said.
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