Unbanked workers in the MENA region gain access to digital financial services through the joint venture of Mastercard and Monak.
In a significant move, Mastercard has partnered with Oman-based fintech company Monak to launch a digital financial services platform for cross-border money transfers. This collaboration aims to empower migrant workers by significantly reducing the costs associated with remittances, enabling these workers to more fully participate in the digital economy.
According to the United Nations Department of Economic and Social Affairs (UN DESA), GCC countries are home to over 30 million foreign workers, constituting more than a half of the region's inhabitants. This partnership is part of a broader movement to create digital payment solutions tailored to the unique needs of migrant and seasonal workers, ensuring faster, lower-cost, and more inclusive financial services.
Said Salim Al Shanfari, co-founder and managing director of Monak, expressed enthusiasm about the collaboration with Mastercard. He believes this partnership will foster economic growth across emerging markets by driving positive financial outcomes.
The platform aims to address the high fees and barriers migrant workers face when sending money home, helping them access digital financial services and improving their ability to manage and remit their earnings efficiently. Employers will benefit from the platform's integrated capabilities for recruitment, onboarding, and payroll processes.
Muhammad Nana, Senior Vice President of Digital Partnerships at Mastercard, stated that the partnership aims to empower migrant workers and ensure they can fully participate in the digital economy beyond their own borders. He added that the collaboration marks a significant milestone in Monak's expansion strategy, particularly within the Middle East market.
Monak's mission includes promoting digital literacy and financial literacy to empower users with the knowledge and skills to navigate the digital financial landscape effectively. The platform reduces the cost and complexity traditionally associated with basic financial services, thereby supporting broader efforts to drive financial inclusion.
By working together, Mastercard and Monak seek to advance Mastercard's efforts to drive financial inclusion for migrant workers. The partnership aims to reduce disparities and contribute to greater economic stability for workers and their families. The initiative addresses key challenges faced by migrant workers, a segment historically underserved by formal financial services.
The platform allows for timely wage disbursements and enables workers to remit earnings back to their families quickly and securely. This partnership is an effort to foster economic growth across emerging markets by driving positive financial outcomes.
The collaboration between Mastercard and Monak is an important step towards ensuring that migrant workers have access to secure, convenient, and inclusive solutions that meet their needs. With this partnership, both companies are committed to improving the lives of millions of migrant workers in the Middle East and beyond.
- Ffnews.com reported that the partnership between Mastercard and Monak, a fintech company based in Oman, extends beyond cross-border money transfers into finance, lifestyle, and technology sectors, with the aim of providing tailored digital payment solutions for migrant workers, enhancing their financial inclusion.
- The integration of Monak's digital financial services platform into recruitment, onboarding, and payroll processes will likely foster technology-driven growth in emerging markets, aligning with Mastercard's vision to empower migrant workers financially, bridging the gap in the underserved formal financial service sector.
