The Open Payment Network is a collaborative initiative between Mastercard and Paysend that aims to streamline and enhance cross-border payment services, specifically tailored to the needs of small and medium-sized enterprises (SMEs). This initiative is a response to the challenges faced by SMEs in conducting international transactions, which often involve slow and unpredictable payment processes.
Key points about the Open Payment Network and the partnership between Mastercard and Paysend:
- Challenges for SMEs: According to Mastercard’s 2022 Borderless Payments report, SMEs face challenges related to transparency and predictability in cross-border transactions. Sluggish payments can disrupt supply chains, and uncertainty in payment timing can lead to supplier refusals.
- Partnership with Paysend: Mastercard and Paysend have formalized their partnership to address these challenges. This partnership signifies their commitment to improving the efficiency and effectiveness of cross-border payment services for SMEs.
- Initiative Goals: The Open Payment Network aims to provide reliable and secure solutions for SMEs, facilitating prompt international fund transfers and vendor payments. It manages the entire payment process, from initiation to completion, utilizing established connections with local network affiliates and real-time payment systems.
- Instant Transactions: The initiative focuses on enabling SMEs to conduct instant transactions globally, regardless of time or location. Mastercard is dedicated to supporting SMEs in the digital economy and fostering their success.
- Paysend’s Role: Paysend, as part of this initiative, has become a Mastercard Send Partner Program member. This program assists fintech companies, acquirers, processors, and platforms in providing nearly real-time digital payments to their customers. Paysend will leverage Mastercard’s extensive network to establish additional channels for person-to-person transactions, connecting Europe with other regions worldwide.
- Shared Vision: Abdul Abdulkerimov, Co-Founder and Chairman of Paysend, expressed the shared vision of providing innovative financial products and solutions to customers. Mastercard is a key partner in their journey to improve the efficiency of the financial system and make cross-border payments safe, fast, and convenient.
- Digital Economy: Mastercard’s objective is to facilitate an all-encompassing digital economy that benefits individuals worldwide. This initiative aligns with their broader vision for a more efficient and secure global financial system.
In summary, the Open Payment Network, in collaboration with Paysend, aims to offer SMEs efficient and secure cross-border payment solutions, addressing the challenges they face in international transactions. This partnership leverages Mastercard’s extensive network and Paysend’s expertise to enhance the payment experience for SMEs engaged in global trade.