Dr. Folasade Femi-Lawal, Mastercard’s West Africa country manager, highlights the resilience and ambition of Nigeria’s micro, small, and medium-sized enterprises (MSMEs). With nearly 40 million such businesses, they serve as the nation’s economic engine. Mastercard’s SME Confidence Index shows 81% of these businesses are optimistic about the upcoming year, with 100% identifying digital payments as a necessity for future success.
A primary obstacle has been the high cost of traditional POS hardware. To counter this, Mastercard is deploying hardware-lite solutions, such as QR-on-Card technology launched with Wema Bank and UBA, which allows 1.8 million SMEs to accept payments without expensive equipment. Furthermore, the company is facilitating cross-border trade through its Mastercard Move infrastructure and partnerships with firms like Access Bank, Fidelity Bank, and BMONI.
Growth strategies also emphasize human capital. Through collaborations like the one with the Lagos State Employment Trust Fund (LSETF), Mastercard is promoting financial literacy. By formalizing operations through digital payments, entrepreneurs create a transaction history that aids in securing credit, though security remains paramount; Mastercard has invested over $12.6 billion globally in cybersecurity and AI since 2019 to ensure business continuity.
Ultimately, by providing low-cost, secure, and borderless payment options, Mastercard aims to match the ambitions of Nigerian entrepreneurs. As digital infrastructure improves, these businesses are better equipped to innovate and compete on both a continental and global scale.
