IFC and MasterCard to partner to broaden use of electronic payments by micro, small and medium enterprises

Tuesday, June 21, 2016

IFC, a member of the World Bank Group, and MasterCard have agreed to work together to broaden the use of electronic payments by micro, small and medium enterprises, with the goal of connecting five million such businesses to the global payments network over five years.

A memorandum of understanding signed Wednesday is part of the institutions’ drive to achieve universal financial access by 2020.

Universal financial access cannot be achieved by simply providing individuals a transaction account. Micro, small and medium Small Businessbusinesses—with whom most of the unbanked transact on a day to day basis—must be able to accept electronic payments. This is an area where banks in developing economies can innovate and expand services.

The “Financing Facility for Acceptance Development” is designed to address these challenges, with a focus on Asia, the Middle East, Africa, Latin America and parts of Europe.

Source: FinExtra (link opens in a new window)

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