MasterCard has announced its partnership with 100 Resilient Cities (100RC) – Pioneered by The Rockefeller Foundation, to use its technology and expertise in digital payments to advise member cities across a range of projects.
MasterCard will work with 100RC to help cities understand the risks of a cash-based economy and the opportunities associated with converting to digital payments. The company will assist 100RC members in the creation and implementation of resilience strategies, help deliver payments infrastructure and technology solutions to support those strategies, and share lessons learned to inform other cities.
“In the face of rapid urbanization, removing cash from the economy has been shown to create far-reaching and cumulative benefits to all – citizens, businesses, tourists and governments,” said Craig Driver, Vice President, government services and solutions for MasterCard. “Working with 100RC, we can tap into our expertise creating digital payment solutions for governments to help cities achieve greater cost-savings and efficiencies, drive revenue, reduce crime, establish digital identities for their citizens, expand financial inclusion and improve overall quality of life.”
MasterCard is currently engaged with governments on more than 1,300 programs in more than 60 countries to reduce the reliance on cash and address payment needs such as social benefits, government payroll, procurement, government receipts, and transit among others:
Indonesia: MasterCard is helping to simplify the financial accounts for government employees, such as the Navy and police, by combining their ID, payroll and payment onto a single card.
Colombian city of Barranquilla: MasterCard helped to streamline the city’s payments processes. As a consequence, the use of electronic payments by the local government grew from 0 to 76 percent, creating significant efficiencies.
London: MasterCard worked with Transport for London (TfL) to transform its fare collection system to accept contactless bank cards. In just over a year, the cost of collecting fares has dropped from about 14 percent of revenues to just below 9 percent, while access to trains and buses has been simplified for residents and visitors.
Canada: MasterCard is working with local businesses in Toronto and other cities to provide insights to help them understand business performance, customer behavior and competitive standing.
Egypt: MasterCard is helping the government roll out a program that links citizens’ national identification to the existing country-wide mobile money platform, allowing 54 million Egyptians to participate in the formal electronic economy through a single, easy-to-use cashless solution.
In multiple cities across Asia Pacific in 2016, MasterCard works with business associations and governments to hold the Master Your Card merchant education workshops, which aim to help merchants better understand how to leverage electronic payments to grow their businesses. These workshops have been held across cities in India, Indonesia and Vietnam.
The 100RC Platform of Partners is a group of private, public, non-profit, academic and government organizations that provide free tools, services, and expertise to 100RC members. In total, 100RC Platform Partner services value greater than $200m. The 100RC partnership will allow MasterCard to expand the reach and impact of their existing expertise to more cities, and further the mission and vision of 100RC to help cities around the world become more resilient to the physical, social, and economic challenges that are a growing part of the 21st century world.
“The complex problems facing cities in the 21st century require thinking and partnerships from experts across all sectors,” said Michael Berkowitz, president of 100 Resilient Cities. “MasterCard is uniquely positioned to assist 100RC members build efficiencies in their local economies and create cities better able to thrive and withstand both sudden and long-term disasters.”