Mastercard, having established a joint venture, has started domestic payment processing activities in China.
The mentioned joint venture was named Mastercard NetsUnion. In this case, payment transactions are processed that are made in China using the cards of the mentioned giant of the fintech industry issued by Chinese banks.
Moreover, in an Asian country, Mastercard cards will now be accepted for both domestic and international purchases.
Michael Miebach, CEO of Mastercard, said that the payment industry giant, together with its Chinese partner NUCC, is striving to simplify the procedure for making payments domestically and abroad. In this case, it means making relevant transactions in China and overseas.
It is worth noting that for many years Beijing has been struggling with the entry of foreign payment systems in the Asian country. At the same time, China is a kind of space of opportunity for overseas fintech businesses, since there is a multi-trillion dollar payment market here. In June 2015, the authorities of the Asian country weakened restrictions on foreign companies obtaining licenses by setting up units or acquiring a local company. At that time, as part of the cooperation, Mastercard and NetsUnion founded a majority-owned joint venture.
In February 2020, the People’s Bank of China principally approved the application of the payment giant and its partner in the Asian country to begin official preparations to set up a domestic bank card-clearing institution.
Ling Hai, chairman of the board of Mastercard NetsUnion, says that the availability of Mastercard-branded products will be expanded to offer Chinese consumers and businesses of all sizes a wider choice. Also in this context, it announced its intention to add millions of new payment acceptance locations throughout the Asian country and deliver seamless and safe payment experiences every day.
As we have reported earlier, Mastercard Introduces Mobile Virtual Card App for Businesses.
