Last Updated on October 12, 2026 by TMB
Mastercard has announced it will enable offline payments for all cards issued across Europe starting in February. Shoppers will be able to use their Mastercard credit and debit cards at all times, even if payment systems temporarily crash or the internet goes down during a blackout.
In an official statement posted Thursday, Mastercard Europe President Kelly Devine said the move is necessary to improve the continent’s payment framework. Devine specified that:
“From next year, all new European credit and debit cards – and all new payment terminals at critical retailers like supermarkets and petrol stations – will be able to support offline payments, strengthening the resilience of Europe’s payments infrastructure.”
How the Offline Payment Works
Devine explained this development is inspired by the blackout that left 55 million people in Portugal and Spain unable to make payments last year. She said the plan is to ensure people can still use their cards and PINs to buy essential items if there’s a power cut or an internet outage. Devine says that the transaction will happen over the next three to five years.
According to reports, the offline payment system works by pre-setting a €200 spending limit on each card, set by the card owner’s bank. The card and the terminal in use approve the payment, allowing the holder to make a purchase. The transaction then continues to online processing whenever internet connection is restored. This means that in such emergencies, petrol stations, pharmacies, supermarkets, travel vendors, and other essential or non-essential service providers can keep serving customers.
This development follows Mastercard’s successful testing of the technology in Latvia, Sweden, Denmark, and Estonia. Mastercard specified that card payments continued working in Latvia during a recent storm. Also, cards continued to serve customers and businesses in Denmark after parts of the country’s central system went offline.
Localizing Payments to Europe
In addition to offline payments, Devine also said that Mastercard is localizing payments in Europe. The exec said the company is investing to ensure that the primary copy of European transaction data remains in Europe. According to Devine, Mastercard has already made technology investments and built new facilities worth €250 million, specifically to expand and localize payments operations in Europe.
Part of this is the Mastercard Transaction Stream. Launched in 2025, it is a processing technology that quickens payment processing for all involved parties, including merchants and customers. Although card payments and authorizations usually take only a few milliseconds, funds settlement and transfers to merchants can take a few days. Through the Transaction Stream, Mastercard has been compressing this process into same-day settlement. Furthermore, the technology ensures that transfers between persons or accounts use modern messaging standards, along with better data formats. This improves security and accuracy.
