08 November 2018

Mastercard has launched what’s claimed to be a simple, secure and instant mobile payments solution as part of its efforts to reduce cash usage and increase digital financial inclusion across the continent. 

EcoCash Scan & Pay uses Mastercard’s QR system to enable customers to pay for merchant goods directly from their mobile money accounts.

It has recently launched a system with EcoCash in Zimbabwe. Powered by Mastercard’s Masterpass QR system, EcoCash Scan & Pay enables subscribers to pay merchants directly from their mobile money accounts.

All the customer needs to do is use a smartphone to scan a QR code displayed at the checkout, or enter a merchant identifier associated with the QR code into their feature phone.

The companies say the technology removes the need to carry cash, and frees both consumers and retailers from the costs, security risks and inconveniences associated with cash.

Scan & Pay is currently available to EcoCash’s five million active subscribers, and is already accepted at 3,800 retail locations and businesses in Zimbabwe.

According to Mastercard, SMEs contribute more than 60 per cent of the country’s GDP, yet only a fifth are served by formal financial institutions.

With a large proportion of SMEs still transacting using cash, it reckons Masterpass QR provides a cost-effective, fast and easy-to-deploy solution, enabling these businesses to safely accept digital payments.

Gabriel Swanepoel, VP of business integration at Mastercard Southern Africa, says: “Masterpass QR is a game-changer as it enables smaller retailers to increase sales, draw new customers into their stores, and open-up new commerce channels with little to no investment.”

Mastercard’s system can be used at any supported location across Africa.

It was first launched on the continent in Nigeria in September 2016 following a partnership with the Ecobank Trans International Group.

Since then, Masterpass QR has also been rolled out in Rwanda,Tanzania, Uganda, Ghana, Kenya and now Zimbabwe.

Mastercard has previously stated that its global goal is to connect 40 million micro and small merchants to its electronic payments network by the end of 2020.

By then, it says Masterpass QR will have been introduced to 33 countries across Africa.