Payment gateway services provider Razorpay has announced a strategic partnership with global payments player Mastercard to drive digital payments for small and medium businesses (SMBs) and startups in India.
The companies, a statement said, are set to launch a suite of solutions to digitise operations and maintain business continuity for SMBs.
The firms will collaborate in nine segments, Razorpay chief innovation officer Amitabh Tewary said, adding that they will soon launch a recurring card payment solution.
“One of the initiatives that we will be working on jointly is to make recurring payments more accessible to businesses and consumers by creating seamless onboarding solutions for bill payments, digital content platforms and other subscription services,” Tewary said in the statement.
He told TechCircle that they would also facilitate international payment transactions for merchants using Mastercard’s payment gateway service MPGS, as well as silent authentication over the network for the cardholder.
“Mastercard is building a marketplace or exchange mechanism for farmers to sell agriculture produce and we will be powering the payment for this. We are also trying to see which other products can we build for this,” Tewary told TechCircle.
Razorpay, which turned a unicorn in 2020, saw 77% of its revenues coming from business-to-business products and services for FY20. Its neobanking service, launched in 2019, looks to help SMBs with digitisation of functions. The current partnership will help both the companies target the SMB segment through products.
“Mastercard aims to make merchants across India digitally equipped and welcomes the fresh thoughts and technology that Razorpay will bring to help achieve this goal. Mastercard is committed to developing safe, secure and more convenient ways to make payments with its technology and expertise and is confident this partnership will deliver that and more,” Rajiv Kumar K, senior vice president for market development (South Asia) at Mastercard, said.