Mastercard and KaiOS Join Forces to Drive Financial Inclusion for Small Businesses

Mastercard and KaiOS Technologies have teamed up to provide small and medium-sized enterprises (SMEs) in emerging markets with accessible digital payment solutions. The partnership aims to tackle long-standing challenges faced by SMEs when adopting digital payments, including the high costs and technical barriers associated with traditional payment systems.

KaiOS Technologies, known for its affordable smart-feature phones, will leverage Mastercard’s global payment network to equip SMEs with payment acceptance capabilities. This collaboration will begin in Côte d’Ivoire and Nigeria, with plans to expand to other emerging markets.

Addressing Digital Payment Barriers for SMEs

One of the main obstacles for SMEs in developing regions is the expense and complexity of integrating traditional payment acceptance terminals. Without affordable and easy-to-use solutions, many small businesses struggle to participate in the digital economy, limiting their potential for growth.

Mastercard and KaiOS Technologies aim to solve this by allowing businesses to accept payments directly through KaiOS-powered feature phones. SMEs will be able to use these low-cost devices to accept digital payments via Mastercard QR codes, Mobile Point-of-Sale (mPOS) systems, and Tap & Go contactless payments.

This approach significantly lowers the cost barrier for businesses, eliminating the need for expensive point-of-sale (POS) terminals. By integrating digital payment capabilities into affordable phones, even the smallest enterprises will be able to adopt modern payment methods, improving their participation in the digital economy.

Simple Enrollment and Usage for SMEs

SMEs can enroll in the system through a straightforward process on their KaiOS-powered devices. Business owners simply enter their registered credentials and authenticate using a one-time password. Once enrolled, they gain access to a range of payment options, including QR codes and contactless payments. This simplicity makes it easier for businesses with limited technical expertise to integrate digital payments into their daily operations.

Mastercard’s Chief Product Officer, Jorn Lambert, emphasized the importance of enabling digital payments for businesses of all sizes. He stated that Mastercard’s goal is to make it as simple for businesses to accept digital payments as it is for consumers to use them. Whether it’s a small business in Côte d’Ivoire or a larger enterprise in other regions, Mastercard aims to support the digital transformation of businesses through easy-to-use solutions.

The Role of KaiOS in Expanding Digital Inclusion

KaiOS Technologies has been at the forefront of bridging the digital divide by bringing internet access and smart features to low-cost mobile phones. Its partnership with Mastercard is a continuation of its mission to connect underserved communities with digital services. By embedding secure payment technology into these devices, KaiOS helps transform basic mobile phones into powerful business tools.

Sebastien Codeville, CEO of KaiOS Technologies, pointed out that this collaboration will create new opportunities for small businesses and entrepreneurs. The ability to accept digital payments through affordable feature phones enables them to take part more fully in the modern economy, leveling the playing field for businesses in regions where access to advanced technology is limited.

Expansion into African Markets and Beyond

Initially, the collaboration will focus on African markets, starting with Côte d’Ivoire and Nigeria. The partnership will work with local partners like Touch and Pay Technologies (TAP) and Wizzit to extend access to merchants within these markets. TAP’s CEO, Olamide Afolabi, noted that integrating KaiOS into their platform is a game-changer for underserved populations, enabling millions of users with basic feature phones to access digital financial services.

Wizzit, another partner, aims to expand secure payment acceptance solutions across Africa. The company’s COO, Dirk Bruynse, said that the partnership would allow them to scale their payment solutions to meet the evolving needs of businesses across the continent.

Mastercard and KaiOS also plan to collaborate with acquiring banks, payment facilitators, and fintech companies to further support the growth of digital payment ecosystems in these regions.

A Step Toward Financial Inclusion

This partnership reflects a broader effort to drive financial inclusion through technology. By simplifying payment acceptance and reducing costs, Mastercard and KaiOS are providing SMEs in emerging markets with the tools they need to participate in the digital economy.

As digital payments become more widespread, SMEs in regions like Africa stand to benefit significantly. With affordable devices and easy-to-use payment solutions, these businesses can expand their customer base, improve operational efficiency, and grow their revenue streams. The collaboration between Mastercard and KaiOS is expected to play a key role in accelerating digital transformation in emerging markets, promoting a more inclusive global economy.

Conclusion

The partnership between Mastercard and KaiOS Technologies is a significant step toward addressing the challenges faced by SMEs in adopting digital payments. By leveraging affordable technology and simplifying the enrollment process, the collaboration aims to create a more inclusive and connected global economy. As the initiative rolls out in Côte d’Ivoire and Nigeria, it is poised to expand to other emerging markets, helping millions of small businesses take advantage of the digital revolution.