LOS ANGELES–(BUSINESS WIRE)–June 7, 2022–
Today, at the 9th Summit of the Americas held in Los Angeles, California, Mastercard reinforced its commitment to advancing financial and digital inclusion in El Salvador, Guatemala and Honduras with a new set of commitments and programs focused on promoting the economic empowerment of women and girls. In the region. The commitments are part of Mastercard’s commitment, as a founding member, to the Partnership for Central America (PCA).
According to the Latin American Center for Innovation and Entrepreneurship (CELIEM) Women’s Entrepreneurship Monitor of 2022 1, 60% of women business owners in Central America reported financing their business activities with their own resources due to lack of access to financing options, while the high costs of formalizing their business present yet another hurdle.
Mastercard works to address these challenges by ensuring that women entrepreneurs can access and leverage the tools and resources needed to start, grow, and grow their businesses as integral foundations of their communities. This includes a commitment to digitize 300,000 women-owned and run businesses in Guatemala, Honduras and El Salvador over the next five years – providing them with accessible digital financial tools to increase sales and access to credit that will enable them to grow their business, foster sustainability and strengthen their contribution to their local economies.
“We know communities see exponential returns when we empower women, and especially women entrepreneurs, with the tools, capital and resources to sustain and grow their businesses,” said Michael Froman, Vice President and President. of Mastercard’s strategic growth. “Working in both the public and private sectors, our priority must be centered on the long-term prosperity of these entrepreneurs and their businesses as essential contributors to the local economy and job creation.”
Driving impact through collective action
The company also leverages the power of collective action by partnering with organizations such as Accion, INCAE Business School, Cargill and PriceSmart. With initial support from the Mastercard Center for Inclusive Growth, Accion, in partnership with Fundacion Genesis Empresarial (Génesis), will develop an innovation ecosystem for fintech startups in agriculture and small businesses. The ecosystem will empowering one million women and other social innovation startup founders to access business and technology partnerships, data exchange standards, open banking frameworks and five-year funding.
Together with PriceSmart and Cargill, Mastercard will work with longtime partner INCAE Business School to launch the Women’s Business Growth Initiative, an effort to supporting 120 small and medium-sized enterprises (SMEs) run by women in Honduras and Guatemala and help them access markets and capital to grow their businesses and support job creation.
“The global pandemic has exacerbated inequalities around the world. According to the World Bank 2, women have been the most affected in terms of employment and loss of income. For Mastercard, driving a sustainable and equitable digital economy where everyone can thrive means providing women entrepreneurs, micro and small business owners with the financial tools, access to capital and networks needed to grow and support their businesses. It means inspiring young girls to consider future careers in technology and business so that the next generation of women will be even more empowered than the next,” said Carlo Enrico, president of Mastercard Latin America and the Caribbean. “We look forward to working with partners, governments and civil society organizations to create the impact needed to make a difference.”
Developing Financial Literacy for Financial Inclusion
Financial literacy is essential for the adoption of the financial tools necessary for economic development, thanks to Mastercard’s Cuentas Claras digital financial literacy program in Central America, the company has reached more than seven million people (55% women) with information on topics such as savings, loans, opening a bank account and more since the program began in 2020.
Empowering the next generation of female leaders
In addition to supporting women-owned and led businesses, Mastercard is also committed to inspiring the next generation of female leaders to pursue careers in science, technology, engineering, and math (STEM) through its program. Girls4Tech award-winning. Mastercard will provide 5,000 girls in Northern Central America education in STEM principles related to topics core to its payments business (i.e. fraud detection, artificial intelligence, cryptography, among others) over the next five years . The company will celebrate today’s announcement by hosting an inaugural Girls4Tech session on June 8 with 100 girls from participating schools in Guatemala City.
Extending the Benefits of Financial Inclusion to All in Northern Central America
Most recently, Mastercard announced the launch of a new financial inclusion program in Guatemala, El Salvador and Honduras with the goal of accelerating financial inclusion for five million unbanked people and digitizing one million micro and Small Businesses (MSMB) over a five-year period. Under this new program, the company will work with partner banks to encourage and enable them to offer the best financial tools and solutions to unbanked individuals and MSMB owners who need access to capital and tools. to digitize their business. Solutions include digital and physical Mastercard debit or prepaid card programs for consumers and micro business cards for MSMB owners. Additionally, consumers and MSMBs will be able to make and receive digital payments for things like access to social benefits, remittances (including person-to-person), point-of-sale purchases, access small business financing, etc.
About Mastercard (NYSE: MA)
Mastercard is a global technology company in the payments industry. Our 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. Our decency quotient, or DQ, drives our culture and everything we do inside and outside our company. With connections in more than 210 countries and territories, we are building a sustainable world that unlocks invaluable opportunity for all.
About the Central America Partnership
The Central America Partnership is the coordinating body for Vice President Harris’ call to action to deepen private sector investment in the Northern Triangle. The partnership aims to facilitate and support practical solutions to advance economic opportunity, address pressing climate, education and health challenges, and promote long-term investment and workforce capacity. works in support of a vision of hope for Central America. If you would like to know more, please contact [email protected]
1 “Desarrollo: Centro Latinoamericano De Innovacion y Emprendimiento: San Pedro.” Celiem, https://www.celiem.org/.
2 “Latin American women must be at the center of post-COVID recovery.” World Bank Blogs, https://blogs.worldbank.org/latinamerica/latin-american-women-must-be-center-post-covid-recovery.
Show source version on businesswire.com:https://www.businesswire.com/news/home/20220607005996/en/
Sarah Ely (914)249-6714
KEYWORD: CALIFORNIA GUATEMALA EL SALVADOR UNITED STATES CENTRAL AMERICA HONDURAS NORTH AMERICA
KEYWORD INDUSTRY: PROFESSIONAL SERVICES CONSUMER SMALL BUSINESS WOMEN FINANCE BANK
SOURCE: Mastercard Incorporated
Copyright BusinessWire 2022.
PUBLISHED: 06/07/2022 12:38 PM / DISK: 06/07/2022 12:38 PM