Mastercard and Lipa Later partner to introduce buy-now, pay-later solutions in other African countries

Mastercard has announced a strategic partnership with Lipa Later, a credit led and technology-driven fintech. The collaboration aims to accelerate the expansion of Buy Now, Pay Later (BNPL) payment services in Africa.

The partnership is expected to unlock new opportunities for consumers and merchants by providing tailored BNPL solutions and enhanced payment capabilities. By leveraging Mastercard’s extensive network of merchants, innovative payment methods, and state-of-the-art technology infrastructure and Lipa Later’s strength in consumer credit, both companies are poised to empower individuals and businesses with greater access to essential products and services, make access to credit seamless and reduce friction to create seamless shopping experiences and transactions.

(TOP: L-R – Shehryar Ali, Country Manager for East Africa at Mastercard and Eric Muli, the founder and CEO of Lipa Later Group at the partnership signing in Nairobi).

According to the 2021 FinAccess Household Survey Report, Kenya has experienced remarkable growth in financial inclusion at a national level, with about 84 percent of the adult population accessing formal financial services. However, a significant portion of the population still lacks access to formal financial services. The collaboration aims to bridge that gap by providing the underbanked population and individuals with limited access to financial services, the opportunity to participate in the digital economy.

“Financial inclusion is at the core of Mastercard’s mission, and this partnership unlocks new opportunities for consumers and merchants to access digital payments solutions previously unavailable to them,” said Shehryar Ali, the Country Manager for East Africa at Mastercard. By partnering with Lipa Later, we are leveraging our technology to enable these payments in a digitally secure way. Together with Lipa Later, we’re focused on providing seamless consumer experiences through Buy Now Pay Later to promote inclusion to previously underserved communities and drive sustainable economic growth in Africa.”

The BNPL solution will provide flexible financing options at checkout, ensuring an omni-channel experience both online and in-store. With instant Know Your Customer (KYC) capabilities, customers can easily access financing and enjoy a frictionless shopping experience. Merchants can also increase their average basket size, cater to a wider customer base, and enhance their ability to provide more products and services.

“Expanding Buy Now Pay Later and lending solutions in Africa through this strategic partnership marks a significant milestone for Lipa Later. We strongly believe in the power of financial inclusion and the transformative impact it can have on individuals and businesses,” said Eric Muli, the founder and CEO of Lipa Later Group. “By joining forces with Mastercard, we are accelerating our mission of making credit easily accessible and reducing friction to create seamless shopping experiences and usher Africa’s retail industry into its next phase of growth. This partnership will empower people, stimulate economic growth, and foster innovation in Africa. Together, we are driving positive change and shaping the future of finance in Kenya and beyond.”

Mastercard’s partnership with Lipa Later exemplifies its commitment to fostering inclusive growth through strategic collaborations that leverage cutting-edge technology and customer-centric solutions. By embracing new payment models and supporting local entrepreneurs, the company aims to fuel Africa’s economic progress and create opportunities for all.

Mastercard is a global technology company in the payments industry. It’s mission is to connect and power an inclusive, digital economy that benefits everyone, everywhere by making transactions safe, simple, smart and accessible. Using secure data and networks, partnerships and passion, our innovations and solutions help individuals, financial institutions, governments and businesses realize their greatest potential. With connections across more than 210 countries and territories, we are building a sustainable world that unlocks priceless possibilities for all.

Lipa Later is a fintech platform that empowers consumers to Buy Now Pay Later (BNPL) for essential products and services. Lipa Later started in Kenya in 2018 and is now operating in Kenya, Rwanda, Uganda and Nigeria. Lipa Later’s main objective is to empower African businesses to do more by enabling e-commerce, financial inclusion and shopping all on one centralized and fully integrated platform. Lipa Later is not only changing the consumer credit landscape across Africa, which to date has been largely inaccessible for most, but also catalyzing the future of shopping, e-commerce, and payments.


Be the first to comment

Leave a Reply

Your email address will not be published.


This site uses Akismet to reduce spam. Learn how your comment data is processed.