Mastercard Incorporated (NYSE:MA) has launched the Mastercard Wholesale Program, a B2B payment solution, in collaboration with HSBC Middle East. This virtual card-based program aims to streamline payments between buyers and suppliers for HSBC’s travel merchant clients.
This initiative builds on the ongoing partnership between Mastercard and HSBC. By using virtual cards, travel companies can digitize their payment processes, enhancing security within the travel value chain and improving liquidity. This move is set to support the regional travel industry, which still relies heavily on manual payment methods.
The introduction of this program is expected to attract more merchants to Mastercard’s network, increasing transaction volumes. Mastercard’s multi-rail strategy already connects with over 400,000 travel merchants worldwide.
With the lifting of pandemic restrictions, travel and entertainment spending has surged. The International Air Transport Association (IATA) projects that 4.7 billion people will travel by air this year, surpassing the pre-pandemic peak of 4.5 billion in 2019.
Expansion into Crypto
In other developments, Mastercard has broadened its reach in the cryptocurrency market by launching a peer-to-peer (P2P) platform for users in Europe and Latin America. The “Crypto Credential” service allows users to transact using a simple username instead of long and complex blockchain addresses.
This pilot program will enable users in 13 countries to conduct cross-border and domestic transfers in multiple currencies and across various blockchains. The simplified transaction process and exchange of metadata aim to increase trust and ease of use in crypto transactions.
Stock Performance
Mastercard’s shares have risen by 20.4% over the past year, compared to the industry’s 18% growth.
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Author Stephanie Bédard-Châteauneuf 
