To drive digital payments acceptance by small businesses in India, Mastercard and Razorpay have launched a strategic partnership that combines Razorpay’s payment processing capabilities with Mastercard’s digital banking solutions and card services.
The partnership will empower the micro, small and medium enterprises (MSMEs) in digitizing their operations, maintaining business continuity in the challenging environment and preparing for the future beyond cash.
Before the outbreak of COVID-19, around 90 per cent of India’s retail payments were conducted in cash. The pandemic has accelerated the adoption of digital technologies and rapidly shifted how consumers prefer to shop and pay. This presents a great opportunity to unite merchants, consumers, acquirers and fintech companies in expanding the adoption of digital payments in India.
SMEs would require establishing a digital footprint to build their customer base and meet demand for secure, convenient and touch-free transactions. With their partnership, Mastercard and Razorpay will work together to cater to the needs of MSMEs.
“We’re going through one of the biggest transformations in Indian financial history – the Fintech Revolution – that will news24nationificantly alter the payment and banking experience of consumers and businesses now and in the years to come. New businesses are evolving every day with different payment and banking needs and catering to a different set of consumers and markets. One of the initiatives that we will be working on jointly is to make recurring payments more accessible to businesses and consumers by creating onboarding solutions for bill payments, digital content platforms and other subscription services,” said Amitabh Tewary, Chief Innovation Officer, Razorpay, in a statement.
Mastercard has been working towards driving acceptance of digital payments in India and will continue to enable ease of payments for merchants and payment aggregators to help them efficiently grow their businesses.
Rajeev Kumar K, Senior Vice President, Market Development, South Asia, Mastercard, in a statement, said, “Mastercard aims to make merchants across India digitally equipped and welcomes the fresh thoughts and technology that Razorpay will bring to help achieve this goal. Mastercard is committed to developing safe, secure and more convenient ways to make payments with its technology and expertise and is confident this partnership will deliver that and more.”