ZoodPay, Mastercard to launch virtual instalment card

Friday 27 January 2023 08:19 CET | News

Digital lending platform for ecommerce ZoodPay has partnered Mastercard to launch a prepaid virtual instalment card in the Eastern Europe, Middle East, and Africa (EEMEA) region.


Through this strategic collaboration, the companies aim to expand financial and digital inclusion, looking to benefit the underbanked population and those with either no credit data or limited access to finance. What is more, ZoodPay is also set to serve as Mastercard’s lending partner for both consumers and small and medium-sized enterprises (SMEs) across a multitude of geographies.

The virtual instalment card and how the partnership falls into place

According to information gathered by Juniper Research, BNPL services are set to account for over 24% of global ecommerce transactions for physical goods by value by 2026, an increase from the 9% in 2021. Additionally, the number of global instalment users is believed to more than quadruple to 1.5 billion in 2026, up from the 340 million in 2021.

Based on the press release, the introduction of the virtual instalment card is set to enable ZoodPay to scale its offerings and provide Buy Now, Pay Later (BNPL) solutions to customers and merchants at all times and places, without being exclusively restricted to the ZoodPay network.

Digital lending platform for ecommerce ZoodPay has partnered Mastercard to launch a prepaid virtual instalment card in the Eastern Europe, Middle East, and Africa region.

Consumers and SMEs across multiple geographies will be enabled access to the offering, and ZoodPay is set to make its SMEs enablement ecosystem available to Mastercard’s merchants, looking to facilitate end-to-end digitisation. As per the announcement, the ecosystem will span product onboarding, fulfilment, last-mile delivery, and distribution channels, including ZoodPay’s own marketplace, in addition to other online platforms.

Furthermore, Mastercard is to supplement this by offering access to its extensive network of merchants, innovative payment methods, as well as its technical infrastructure for enablement and scalability.

The collaboration is believed to help serve up to 300 million people, including 5 million SMEs and 4,000 merchants, providing BNPL options for consumers and loans for SMEs. Mastercard EEMEA representatives advised in the announcement that both consumers and merchants have a need for choice and safety when it comes to payments. Having this knowledge at its basis, through the partnership with ZoodPay, the company is leveraging their technology to enable these type of payments in a digitally secure manner.

Additionally, ZoodPay has 4,000 online and offline merchants with a proprietary marketplace, which is leveraged by more than 10 million people. When commenting on the collaboration, ZoodPay officials advised that the partnership with Mastercard will help shape the future of digital payments across emerging markets. The company is looking forward to launching a holistic suite of fintech services for consumers, merchants, micro, small, and medium enterprises, aiming to help the unbanked population access the financial ecosystem.

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Keywords: partnership, payments , virtual card, BNPL, instalment payments, payment methods, financial inclusion, financial services, digitalisation, digital payments, SME lending, expansion
Categories: Payments & Commerce
Companies: Mastercard, ZoodPay
Countries: Africa, Eastern Europe, Middle East
This article is part of category

Payments & Commerce




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