Zambian-based fintech company Digital PayGo launched PayGo SME-in-a-Box, a new mobile payments solution powered by Mastercard
It will enable small and medium enterprises (SMEs) to safely make and receive digital payments through various channels.
The low-cost, bundled digital offering enables business owners to access a wide range of financial services quickly and easily through a single intuitive app compatible with all Android mobile devices.
PayGo SME-in-a-Box enables businesses to accept in-store digital payments from their customers, including quick response (QR), USSD, card and mobile money. SMEs can also pay for services and procure goods using a virtual and physical (plastic) card.
A report commissioned by the Zambian Ministry of Commerce, Trade and Industry indicates that SMEs represent 97% of all businesses in Zambia and employ over half of the working-class population, with nine out of ten businesses said to operate within the informal sector. The SMEs are faced with varying challenges from paying and getting paid digitally to accessing the capital they need to scale up their businesses.
Digitalisation of payments in the SME sector will enable businesses to generate a transaction history used for credit scoring. By opening up critical funding opportunities, both new start-ups and existing SMEs will be able to grow and contribute to Zambia's overall economic development.
Charity Mwanza, Digital PayGo’s CEO, said, “Our aim is to help SMEs improve their operations and grow their revenue, while driving financial inclusion and supporting growth of the digital economy. The Zambian SME sector has been largely excluded in terms of access to financial services and this proposition will enhance the inclusion process through which SMEs make and receive payments through various channels.”
According to Mastercard, this partnership support’s its global commitment to bring a total of 1 billion people and 50 million micro and small businesses into the digital economy by 2025.
This partnership supports efforts by the Zambian government to accelerate financial inclusion for all citizens. According to the National Financial Inclusion Strategy, the Zambian government has outlined targets for the digitisation of government-to-persons (G2P) payments such as government salaries and refunds, and persons to government (P2G) payments such as school fees, health service cost sharing from the public, and tax payments.