• The BoxCommerce–Mastercard Partnership introduces prepaid cards, giving SMEs instant access to earnings and the ability to reinvest.

• Africa’s fintech sector is expanding rapidly (38% CAGR 2021–2025), with rising funding momentum.

• Partnerships like M‑Pesa–PayPal and MTN MoMo–Mastercard show fintech ecosystems converging across Africa.

South African eCommerce platform BoxCommerce has collaborated with Mastercard to introduce a prepaid Mastercard solution that enables small and medium-sized enterprises (SMEs) on its platform to access their earnings instantly. The move, announced January 19, represents a shift for BoxCommerce, which has traditionally operated as an eCommerce enabler.

Craig McLeod, CEO of BoxCommerce, said the company aims to provide entrepreneurs with tools to grow their businesses. He noted that the collaboration with Mastercard enables merchants to reinvest earnings more efficiently.

According to Mastercard, SMEs are central to South Africa’s economy, representing 91 percent of formal businesses, providing 60 percent of employment, and contributing 34 percent to GDP. Many of these enterprises face challenges such as delayed payouts and limited access to financial tools. The prepaid card, offered in both virtual and physical formats, enables entrepreneurs to access earnings instantly, manage cash flow more efficiently, and reinvest directly into inventory and operations without relying on traditional banking systems.

This collaboration comes against the backdrop of Africa’s rapidly expanding fintech sector. Makreo Research estimates growth at a compound annual rate of nearly 38 percent between 2021 and 2025, driven by mobile money adoption and digital payments. Despite a global funding slowdown, African fintech startups secured $857 million in 2024, with activity accelerating in the second half of the year, according to the Africa FinTech Landscape 2024 Year in Review by the Global Finance and Technology Network.

BoxCommerce’s partnership reflects a wider convergence across Africa’s fintech ecosystem, where telcos, banks, and startups are joining forces with global payment providers to expand access and resilience. In Kenya, Safaricom’s M‑Pesa partnered with PayPal to enable seamless account linking and cross‑platform transfers, giving millions of users access to international e‑commerce and remittances. MTN MoMo also teamed up with Mastercard to introduce virtual prepaid cards and expand cross‑border payments.

The partnership highlights the growing role of SMEs in Africa’s fintech landscape. Mete Guney, Executive Vice President, Market Development, Eastern Europe, Middle East and Africa at Mastercard, said SMEs are vital to communities and that embedding Mastercard solutions into platforms like BoxCommerce helps entrepreneurs digitize with confidence and contribute to inclusive economic growth across Africa.

Hikmatu Bilali