Mastercard, in collaboration with the Central Bank of Egypt (CBE) and the Egyptian Banks Company (EBC), is supporting the implementation of card tokenization regulations by providing infrastructure to all issuing banks across the country, ushering in a new era of seamless and secure digital payment transactions for millions of Egyptians, including unbanked individuals.
By introducing tokenization legislation and infrastructure, the CBE is transforming Egypt to make digital payments secure, convenient and seamless, subsequently attracting new market players and taking fintech innovation to unprecedented milestones.
The innovative solution works by replacing sensitive customer data such as payment card primary account number with a unique identifier, or ‘token’, which can then be used to complete mobile point-of-sale transactions, in-app purchases or online purchases safely, eliminating the need to include actual card information.
“The launch of card tokenization not only signifies a new era in the country’s digital payments landscape but also marks an important step for all stakeholders in the Middle East and Africa’s payments industry. As Egypt advances the adoption of innovative and safe digital payment solutions, Mastercard is dedicating its global expertise and local insights to place Egypt at the forefront of financial technology across the region. The Central Bank of Egypt’s efforts continue to fuel our commitment to fast-tracking the country’s cashless transition, building a more inclusive and sustainable digital economy,” said Khalid Elgibali, Division President, MENA, Mastercard.
Designed to counter online fraud and curb digital payment breaches, tokenization facilitates simpler online payments, quicker checkouts and easier card management by securely storing a digital version of payment cards on smartphones and enabling transactions through tokens that are uniquely generated for a single card at a specific merchant.