MASTERCARD PHILIPPINES has partnered with technology provider Boost Capital to help over 10,000 small businesses grow through expanded access to digital financial services.
“Micro and small businesses are vital engines of economic growth across the world, including in the Philippines. By fostering digital inclusion — one of the country’s strategic development priorities — this partnership with Boost Capital will provide much-needed support to Filipino small businesses and empower them to thrive. Further, by focusing on women-led enterprises, this partnership can help address the barriers faced by women entrepreneurs, enabling them to unlock their full potential,” Mastercard Philippines Country Manager Simon A. Calasanz said in a statement on Wednesday.
“This latest collaboration deepens Mastercard’s commitment to the Philippines, driving social impact in a locally relevant way, while supporting the country’s efforts to digitizing and growing small businesses, and advancing inclusive growth,” he added.
Mastercard is aiming to replicate the success of the same program implemented in Cambodia, where it partnered with two organizations, it said.
“The results from our partnership in Cambodia clearly demonstrated the value that pairing credit with capacity building can have on unlocking capital for underserved small businesses. By building on that work, our aim is to empower more small businesses in the Philippines and facilitate their transition to the digital economy,” Mastercard Center for Inclusive Growth Founder and President Shamina Singh said.
Similar to the program in Cambodia, Mastercard Philippines aims to improve merchant onboarding through financial literacy training to small business customers and by increasing access to digital financial services.
Small businesses that received financial education were 8% more likely to repay loans on time, results from the program in Cambodia showed.
Boost Capital onboards small businesses using channels such as Facebook Messenger, Telegram, and WhatsApp, which Filipino entrepreneurs are familiar with.
The platform’s chat-based technology is integrated with artificial intelligence (AI), allowing service providers to digitally onboard more customers.
This gives small businesses 24/7 access to financial services from their smartphones.
“The entire process is automated, from product selection, through AI-driven verification, to contracting and disbursement,” Boost Capital said.
The program is also being funded by Mastercard Strive, a portfolio of philanthropic programs under the Mastercard Center for Inclusive Growth aimed at helping small businesses thrive digitally.
The initiative targets to support more than 10 million small businesses globally.
“We are excited to be working with Mastercard Strive to unlock and expand credit for Filipino small businesses. This new grant will extend our technology to a wider set of partners and de-risk its adoption by smaller financial service providers, who might otherwise be hesitant to go digital. Encouraging them to explore new client onboarding channels will unlock access to a wealth of digital financial services to support small business growth,” Boost Capital Co-Founder Lucinda Revell said.
Boost Capital is looking to bring more female small business owners into the formal financial ecosystem and provide them with services to support and grow their businesses through its technology. — A.M.C. Sy
Mastercard Philippines, Boost Capital aim to expand small firms’ access to financial services
Philippines Pandemic
إرسال تعليق