Mastercard partners with AlRaedah Finance on Saudi SME payments
Mastercard has signed a memorandum of understanding (MoU) with AlRaedah Finance. This will enable it to launch a payments solution for small and medium sized businesses (SMEs) in the Kingdom of Saudi Arabia.
The “SME in a Box” will offer SMEs direct access to fast funds provided by AlRaedah Finance.
It will also provide them with options to leverage low cost acceptance solutions and the ability to make card payments.
It will extend access to affordable credit, overcoming one of the biggest barriers to growth for SMEs.
“We are delighted to partner with AlRaedah Finance to address small businesses’ pain points through simple and efficient solutions, allowing them to focus on operations and expanding their enterprises instead,” says J.K. Khalil, country manager for KSA & Bahrain at Mastercard.
SMEs currently represent 99% of enterprises in Saudi Arabia and are vital to the economy.
The SME in a Box solution claims to provide a “one-stop-shop, offering improved efficiency”. It also claims to have an instant activation of payment acceptance, easy lending solutions and access to funds at any time.
“The outcome of this partnership will enable SMEs to experience a simpler and more streamlined business approach, on top of expanding the existing lending platforms offered by AlRaedah Finance,” says Paul Melotto, chief executive officer, AlRaedah Finance.
As part of its response to the COVID-19 pandemic, Mastercard has pledged $250 million in financial, technology, product and insights support over the next five years to small businesses across the globe.
The partnership is in line with Mastercard’s global commitment to bring 1 billion people into the digital economy by 2025, including 50 million small businesses and 25 million women entrepreneurs.