There’s no doubt, financial technology or fin-tech is the future of banking, MTN and Mastercard are preparing themselves to fish where the fish is by investing in the space. The international payment company announced it will invest up to $200 million (R3.8 billion) into the MTN Group’s fintech business.
“This commercial relationship is a key enabler for the acceleration of our fintech business’ payments and remittance services,” MTN said.
The mobile operator said, the agreements with Mastercard complemented their larger commercial relationship to support the continued development and growth of technology and infrastructure to drive financial inclusion in South Africa and the rest of the African continent.
Last year, the Payments giant, Mastercard, has agreed to buy a minority stake in MoMo, MTN’s $5.2 billion fintech division.
The Mastercard deal comes when MTN Group wants to expand its fintech business. The telco intends to separate its financial services division while expanding the scope of its telecoms business.
