The collaboration paves the way for synergies with telecommunications companies and government entities, further improving checkout options and facilitating secure consumer transactions.

As part of the agreement, Amazon Payment Services will integrate Mastercard Gateway, a single touchpoint for payment processing, into its operations in 40 markets across the region.

This integration will empower merchants to offer a variety of convenient payment options to their customers.

According to the Mastercard Payment Industry Insights Index, 95 percent of consumers in the region are considering adopting emerging payment methods, such as digital wallets, QR codes, and contactless payments. 

Moreover, 61 percent of consumers would avoid businesses that do not accept electronic payments.

This collaboration will span several countries, including Bahrain, Egypt, Jordan, Kuwait, Lebanon, Oman, Qatar, South Africa, and the UAE.

Banks relying on digital channels have seen a significant increase in digital transaction shares in the past two years, rising from 70 percent to 90 percent, according to a Mastercard study.

This partnership aims to support thousands of merchants using Amazon Payment Services, including Amazon's online stores in the UAE and Egypt. 

Furthermore, the two companies have signed an innovation agreement to develop services such as Secure Card on File, Click to Pay, and token authentication.

These features will provide merchants with diverse checkout options and deliver a quicker checkout experience for consumers.