Empowering Africa’s small businesses through financial management technology

Small, medium and micro enterprises (SMMEs) are responsible for 60% of all jobs in Africa and generate as much as half of the gross domestic product (GDP) in some countries. Yet, they operate in a predominantly cash-based economy and face a US$330 billion financing gap, according to the World Bank.

To boost the contribution of small businesses and empower them to unlock their full potential, Mastercard pledged to bring 50 million SMMEs worldwide into the digital economy by 2025.

To support our goal in Africa, we have partnered with Johannesburg-based fintech company SAVA to connect SMMEs to advanced payments technology and infrastructure in line with our shared commitment to developing innovative solutions tailored to the needs of African markets. We will provide small businesses in South Africa, Nigeria, Kenya and Egypt with an online platform, powered by SAVA’s Payment Transaction System (PTS), that includes digital bank accounts and accounting integration tools, helping them manage their company expenses more efficiently.

Through the power of technology, SAVA simplifies financial management for SMMEs and assists them in scaling their operations. The fintech player will offer small businesses virtual and physical cards, where budgets can be pre-configured and managed via the SAVA app. By integrating the solution with their accounting packages, SAVA’s customers can control spend on their employees’ cards and save time and money by automating reconciliations, giving them greater control over their finances.

In addition to addressing pain points SMMEs face around expense filing and management, SAVA can be used to issue physical cards for shoppers and control spending from a central dashboard, eliminating the need for cash transactions.

Through innovation-driven collaboration such as this one, we are enabling our partners to take control of their customers’ digital needs, interactions and experiences, creating added value in the digital ecosystem and driving financial inclusion.