Sylvia Duruson
Mastercard and Amazon Payment Services have joined forces in a multi-year commercial partnership aimed at transforming digital payment acceptance for merchants across the Middle East and Africa (MEA). This collaboration will see the integration of Mastercard Gateway as a payment solution in 40 markets throughout the region.
The partnership extends to various countries, including Egypt and South Africa in Africa, and Bahrain, Jordan, Kuwait, Lebanon, Oman, Qatar, and the United Arab Emirates (UAE) in the Middle East. This wide-reaching implementation promises to offer merchants fast, seamless, and secure transaction capabilities, along with convenient payment options for customers.
Mastercard Gateway’s single connection feature enables customers to accept payments globally, supporting a broad range of digital transactions. This includes all leading card brands and non-card payment options, catering to the diverse needs of the MEA market.
The collaboration is set to benefit thousands of Amazon Payment Services merchants, including Amazon online stores for shoppers in the UAE and Egypt. It also opens up new opportunities for synergies with entities such as telcos and governments, enhancing their checkout options and driving faster, more secure transactions for customers.
This partnership comes at a time of rapid growth in digital payments across the MEA region. According to the Mastercard Payment Industry Insights Index, 95% of consumers in MEA are considering using emerging payment methods. These include wearables, biometrics, digital wallets, QR codes, and contactless payments.
The index also reveals that 61% of consumers would avoid businesses that do not accept electronic payments. Banks in the region that have migrated to digital channels have seen the share of digital transactions increase from 70% to 90% over approximately two years.
Amnah Ajmal, Mastercard’s Executive VP for Market Development in EEMEA, expressed pride in partnering with Amazon Payment Services to scale payment acceptance and accelerate digitization of payments with innovative solutions.
The partnership goes beyond payment processing. The two organizations have signed an innovation agreement to develop Secure Card on File, Click to Pay, and token authentication services. These developments aim to provide multi-rail checkout options to merchants and a faster checkout experience for end customers.
Peter George, MD for Amazon Payment Services in the Middle East and North Africa (MENA), highlighted that implementing Mastercard Gateway will empower them to expand their reach as a Payment Service Provider (PSP). It will also reduce the burden of integration, as the advanced technology solution is connected to major acquirers worldwide.
Amazon Payment Services already supports over 4,000 merchants and businesses across the MENA region. Their services are available for businesses in the UAE, Saudi Arabia, Egypt, Jordan, Lebanon, Qatar, Kuwait, Oman, and Bahrain.
This partnership aligns with Amazon’s recent expansion in the region. The e-commerce giant officially launched its marketplace in South Africa in May 2024. Robert Koen, managing director for sub-Saharan Africa at Amazon, expressed optimism about the company’s growth prospects in South Africa in a June interview with Connecting Africa.
As digital payment interest continues to grow across MEA, this collaboration between Mastercard and Amazon Payment Services is poised to play a significant role in shaping the future of digital transactions in the region. It represents a major step towards a more interconnected and efficient digital payment ecosystem in MEA.
