As we mark World MSME Day, we celebrate the entrepreneurs who form the bedrock of Africa’s economy. They represent over 90% of all private sector businesses and contribute more than 50% of GDP, making MSMEs the primary engines of job creation and the incubators of the continent’s next generation of innovation.
Today, these businesses are embracing a digital-first mindset to rewrite the rules of commerce. This deep-seated digital fluency transforms everyday operations, unlocks new markets and builds a foundation for sustainable growth.
At Mastercard, we are committed to being the trusted partner that turns this digital momentum into lasting prosperity.
A wave of confidence fueled by digital adoption
In Kenya, this dynamic is evident in the compelling data revealed by the 2026 Mastercard SME Confidence Index.
The study paints a vivid picture of a business community looking ahead with conviction: 66% of Kenyan SMEs are optimistic about the next twelve months, and 70% expect their revenues to grow. This optimism is built on a solid foundation of digital prowess.
Kenya pioneers mobile money globally, and its SME sector leverages this leadership. Today, 95% of Kenyan SMEs accept mobile payments, outpacing both traditional card and online methods. This digital integration provides agility to streamline cash flow and build operational resilience.
While inflationary pressures remain a concern, 62% of these businesses cite digitalization as a key growth driver.
This shift underscores a continent-wide understanding that digital transformation is the pathway to growth. In South Africa, 80% of SMEs now accept online payments, and in Nigeria, all SMEs surveyed agree that digital and online payments are vital for business growth.
Acceptance: The next frontier of growth
For today’s digitally fluent MSMEs, accepting payments is the foundation of what comes next. The 2026 Kenya Index reveals that 70% of SMEs are seeking better access to data, analytics and insights. This reflects a shift from simply processing transactions to making data-driven decisions.
This ambition is directly linked to the need for growth capital. Some 44% of Kenyan SMEs sought external funding primarily for expansion (46%) rather than sustenance, a clear signal of forward momentum.
With around 20% of small businesses in Africa accessing bank loans or formal credit, there is real room to connect proven, ambitious entrepreneurs with the capital their growth deserves.
Mastercard’s approach to empowerment
Our global goal to connect 500 million more people and small businesses by 2030 is realized through a localized approach across Africa:
Expanding acceptance: Over the past year, Mastercard has expanded its acceptance network across Africa by 45%. We deploy innovative solutions like Tap on Phone and collaborate with partners like Safaricom to enhance payment acceptance for over 636,000 M-PESA merchants in Kenya alone.
Unlocking access to credit: A digital transaction history creates a formal footprint that unlocks credit. In Ethiopia, our partnership with Dashen Bank and Accion is piloting an AI-driven credit scoring hub, addressing the country’s $4.2 billion MSME financing gap.
Building trust: With cybercrime projected to cost Africa up to 10% of its GDP, Mastercard has invested $12.6 billion in cybersecurity innovation globally. Our AI-powered systems protect 175 billion transactions annually, and we empower SMEs with critical defense tools through the Mastercard Trust Center.
Supporting informal entrepreneurs: In Kenya, Mastercard’s Strive program collaborated with MESH to scale access to formal credit for young informal entrepreneurs, helping 5,000 youth apply for credit using community-based financial data trails.
Strategic bank collaborations: We work with East African partners, including I&M Bank, DTB, KCB Bank and Tanzania’s NMB Bank, to issue dedicated SME Business and Trader Cards. These equip owners to separate personal and business expenses, access working capital and seamlessly pay for inventory, giving them essential financial discipline.
A future of shared prosperity
Africa’s MSMEs show a clear path forward: a future where digital fluency is the norm and access to finance is democratized.
As Shehryar Ali, senior vice president and country manager for East Africa and Indian Ocean Islands at Mastercard, states, “SMEs are the engine of Kenya’s economy, and their confidence in the year ahead speaks volumes about their resilience and ambition.
Kenyan businesses have built one of the most advanced mobile payment cultures in the world, and they are now ready for the next step, turning everyday transactions into the data, insights, and access to capital that help them grow.
At Mastercard, we are proud to work alongside our partners to give these businesses the tools to scale and thrive.”
On World MSME Day, we celebrate the innovators who are the lifeblood of the African economy. By continuing to provide secure technology and critical resources, Mastercard is committed to unlocking the immense potential of Africa’s entrepreneurs for generations to come.
