Mastercard and MDP Join Forces to Revolutionize Digital Payments in MENA
In a groundbreaking announcement on December 5, 2023, Mastercard and MDP have unveiled their strategic partnership aimed at transforming the landscape of digital payments in the Middle East and Africa (MENA) region, as highlighted in Fintech Global News. This alliance between Mastercard, renowned for its cutting-edge payment solutions, and MDP, a company specializing in modern payment processing, is poised to reshape the way payments are processed and services are delivered, creating a more robust and efficient ecosystem for a wide range of stakeholders.
Mastercard’s extensive digital assets and white-label applications will be seamlessly integrated with MDP’s extensive processing services, combining the strengths of both entities to establish an innovative payment processing hub tailored to the unique needs of the MENA region.
The primary objective of this partnership is to position MDP as a one-stop-shop for processing services. By merging Mastercard’s digital expertise with MDP’s processing capabilities, the collaboration aims to provide banks and non-FIs (non-financial institutions) in the MENA region with innovative solutions that not only enhance efficiency but also cater to specific market segments, including youth banking, family banking, and digital lending.
Mastercard, a global pioneer in the payments industry, will bring its wealth of digital assets and applications to the forefront. These assets are designed to streamline and secure payment processes, promising smoother transactions for both institutions and end-users. Meanwhile, MDP, with its focus on modern payment processing, offers a dynamic approach to handling payment solutions, specializing in customized processing services that align with the evolving market requirements.
This strategic partnership offers numerous benefits to various stakeholders. Financial institutions will have the capability to introduce new products with minimal internal efforts, thereby enhancing SME lending, consumer lending, and innovative Buy Now Pay Later (BNPL) schemes. Additionally, it will provide accessible credit options through mobile applications while exploring emerging areas such as AI in health and fitness and sustainability initiatives.
Fintech companies are expected to be among the primary beneficiaries of this partnership, as it promises a faster time to market through initiatives like Card-as-a-Service (CaaS) and sandbox capabilities. Non-FIs and telecommunication companies will also gain by offering white-label apps to their customers, overcoming challenges such as BIN sponsorship through the CaaS enablement program with MDP.
Ahmed Nafie, CEO of MDP, highlighted the advantages of this collaboration, stating, «By bundling Mastercard’s digital assets with our products, we are offering issuer banks the ability to roll out new segment-focused solutions, like youth banking, family banking, and digital lending. We are also empowering fintech, mobile network operators (MNOs), and the wider non-FIs segment companies to quickly get to the market by providing them with Mastercard’s unique propositions with the lightest touch from their side.»
Gaurang Shah, Executive Vice President, Product and Engineering, Eastern Europe, Middle East and Africa, Mastercard, also shared his insights: «In line with our commitment to fueling a strong digital economy in the Middle East and Africa, we are keen to harness the power of technology and partnerships to build a robust, seamless, and secure payment infrastructure. Our collaboration with MDP will equip businesses with innovative payment solutions that allow them to participate in digital commerce and drive financial inclusion.»
The Mastercard and MDP partnership represents a significant milestone in the evolution of digital payments in the MENA region. By combining their strengths, these two industry leaders are set to usher in a new era of efficient, secure, and tailored payment solutions that will benefit financial institutions, non-FIs, fintech companies, and consumers alike.