Mastercard, DFC Push to Improve Financial Inclusion in Central America

Mastercard announced Thursday (June 9) that it will be working with U.S. International Development Finance Corporation (DFC) on a joint program to help deepen financial inclusion in Guatemala, Honduras and El Salvador.

The DFC works to provide financing to small businesses and women entrepreneurs, according to the press release, creating greater economic opportunity for both individuals and small businesses.

The initiative will reportedly focus on letting individuals and businesses pay and get paid digitally. It will also help underserved communities access digital tools to transact, get access to credit and access credit history.

The DFC will reportedly consider financing for BAC Credomatic and Genesis to help develop the initiative, per the release, which will focus on empowering women.

Mastercard’s investment will help develop digital tools that will be offered to eligible individuals and businesses, helping them to develop training and onboard underserved people to the wider economy.

“DFC’s collaboration with Mastercard will spur additional private sector investment to drive economic growth and development in Central America,” said DFC CEO Scott Nathan. “DFC and Mastercard’s work focuses on expanding digital tools, boosting financial inclusion, and enabling small businesses in the region to grow and succeed.

“Financing under the partnership prioritizes job creation in Central America, addressing a key root cause of migration.”

In addition, Michael Froman, vice chairman and president for strategic growth for Mastercard, said it’s important to have an economy that is sustainable and inclusive.

“This work requires collaboration across the public and private sectors, work like that we’re doing with the DFC to ensure access to necessary financial tools and resources,” Froman said in the release. “Because when we ensure inclusion in the digital economy, we open pathways to prosperity.”

PYMNTS wrote that Mastercard has also been working more with NFT markets to allow payments over its network for buying the digital collectibles.

See also: Mastercard Partners With NFT Marketplaces for ‘Easier and Safer’ Purchases

The payments giant said it’s working with various companies, like Immutable X, Candy Digital, The Sandbox, Mintable, Spring, Nifty Gateway and Web3 infrastructure provider MoonPay, to let people buy NFTs with Mastercard cards in an “easier and safer” manner.