In a world where digital solutions are becoming increasingly prominent, Mastercard and Boost are joining forces to transform the landscape of distribution networks for consumer goods. This ambitious partnership aims to modernize the business practices of small and medium enterprises by providing them with powerful digital tools such as digital payment options, integrated credit, and supply chain financing solutions. By focusing on rapidly expanding markets such as Egypt, Kenya, Nigeria, Ghana, and South Africa, this collaboration promises to open new pathways to growth and financial inclusion. Through this initiative, businesses will be able not only to overcome current obstacles but also to thrive in today’s and tomorrow’s digital economy.
In a bid to strengthen the digital economy, the global payment provider, Mastercard, has formed a strategic partnership with the B2B commerce platform Boost. Together, they aim to integrate one billion people and 50 million small and medium enterprises (SMEs) into the digital economy by 2025.
This promising partnership focuses on the distribution networks of consumer goods in high-growth markets such as Egypt, Kenya, Nigeria, Ghana, and South Africa. Through this innovative pact, SMEs using the Boost platform will benefit from digital payments, integrated credit, and supply chain financing solutions.
According to the International Finance Corporation, SMEs represent over 90% of all businesses worldwide and contribute about 60 to 70% to total employment. However, a financing gap persists, estimated at around 5.7 trillion dollars, which is equivalent to 1.4 times the current global lending levels to SMEs. Amnah Ajmal, Executive Vice President of Mastercard, emphasizes that this partnership will provide essential digital tools and financing solutions necessary to support small businesses in this digital age.
Notably, Mike Quinn, co-founder and CEO of Boost, is excited about this collaboration aimed at helping small businesses thrive within global last-mile distribution networks.
impact of the partnership on distribution networks
Mastercard partners with Boost to revolutionize market access for micro, small, and medium enterprises (MSMEs) within the distribution networks of consumer goods. This collaboration aims to provide digital payment options, integrated credit, and supply chain financing solutions to businesses using the Boost platform. By focusing on high-growth markets such as Egypt, Kenya, Nigeria, Ghana, and South Africa, Mastercard and Boost seek to transform how these businesses engage with the digital market.
With Mastercard’s support, Boost hopes to significantly enhance the economic viability of MSMEs operating in urban, peri-urban, and rural environments. By providing full visibility of operations, increased coverage, and direct digital promotions to retailers, the initiative aims to create transformative value for their customers and partners, thereby encouraging multidimensional growth within distribution networks.
benefits for businesses and the market
The strategic partnership between Boost and Mastercard is designed to overcome the traditional barriers faced by MSMEs, which represent over 90% of businesses globally. With the potential to bridge a significant financing gap equivalent to 1.4 times the current level of global loans to MSMEs, this partnership capitalizes on the performance of digital solutions to strengthen support for these businesses. Through essential digital and financial tools, MSMEs are better equipped to succeed in today’s digital economy.
the future of online payments through technology
By combining their efforts, Mastercard and Boost aim to create an environment where online payments become a frictionless reality, offering both simplicity and security. The partnership reflects a strong commitment to tokenization and the simplification of payment processes, as highlighted in their recent collaboration with PrestaShop. When digital solutions integrate seamlessly, time and cost savings are undeniably achieved, marking a fundamental step in optimizing distribution networks. Through the implementation of such initiatives, innovation becomes the keyword, thus shaping a new era of possibilities for businesses seeking to navigate the global digital landscape.
