A farmer in Kazakhstan, a small business owner in Kyiv, a family in Karachi. VEON chief executive Kaan Terzioglu named all three when he explained why his company has teamed up with Mastercard, saying each “could benefit from financial tools that were previously out of reach.”
The two companies announced the collaboration on July 2 from Dubai. It covers VEON’s markets in Ukraine, Kazakhstan, Pakistan and Uzbekistan. VEON, a Nasdaq-listed digital operator, will contribute its local digital platforms, customer reach and data capabilities. Mastercard supplies its global payments network and financial technology expertise.
What they plan to build
The companies said they intend to explore AI-powered credit scoring, embedded finance and digital wallets, all subject to regulatory requirements. The products will also include merchant services, loyalty and remittances for consumers, small businesses and larger enterprises.
The need they point to is familiar. Limited credit history, cash-heavy economies, fragmented payment systems and distance from formal banking leave millions of people and businesses underserved. The release cites the GSMA, which counts more than 2 billion registered mobile money accounts worldwide.
Pilots are expected to start in Ukraine and Kazakhstan. If they work, the services could spread to VEON’s other markets. Through Mastercard’s network, the companies also said they would look at reaching people in countries where VEON does not operate.
In their words
“Our local presence and sovereign platforms, combined with Mastercard’s global capabilities, help turn connectivity into greater economic opportunity for the people and communities we serve,” Terzioglu said.
Mete Guney, Mastercard’s executive vice president for market development in Europe, the Middle East and Africa, framed it around the phone. “Mobile connectivity is increasingly becoming the gateway to the digital economy,” he said. He added that combining VEON’s reach with Mastercard’s payments expertise gives the companies a chance to make financial services “more accessible, secure and relevant for consumers and small businesses.”
VEON says it provides connectivity and digital services to more than 150 million users, with over 228 million digital users across its platforms. It operates in five countries that together hold more than 6% of the world’s population. The announcement gave no financial terms and no launch dates for any product.
