Mastercard and Johannesburg-based fintech company SAVA have partnered to bolster small, medium, and micro enterprises (SMMEs) across South Africa, Nigeria, Kenya, and Egypt. The collaboration will leverage payments technology and infrastructure to support these businesses.
Through the initiative, SMMEs will gain access to an online spend management platform fueled by SAVA’s Payment Transaction System (PTS). This platform provides digital bank accounts and accounting integration tools, streamlining expense management for small businesses. Given that SMMEs contribute significantly to African economies—accounting for 60% of all jobs and up to half of Gross Domestic Product (GDP) in some nations— financial support is seen as one of the more critical issues for theses businesses.
Additionally, the World Bank estimates a US$330 billion financing gap faced by these enterprises, which predominantly operate in cash-based economies. Mastercard said as part of its commitment to financial inclusion it is aiming to digitise 50 million SMMEs globally by 2025. SAVA’s advanced technology simplifies financial processes, allowing SMMEs to scale their operations effectively.
As part of the agreement, SAVA equips SMMEs with virtual and physical cards, enabling pre-configured budgets managed through their app. By integrating with accounting packages they can streamline expense control and automate reconciliations. Dimitrios Dosis, President of EEMEA at Mastercard, emphasized the impact of the collaboration and its ability help businesses thrive in an increasingly digital economy.
“By deploying the right, efficient technology we continue to boost financial inclusion in Africa and enable SMMEs to reap the full benefits of the digital economy,” he said.
