MASTERCARD said yesterday that chief executive Ajay Banga will step down at the start of the next year and will be replaced by chief product officer Michael Miebach.

While Banga, who took over as chief in April 2010, will become executive chairman, Miebach will take over as the company's president on 1 March.

Chairman Richard Haythornthwaite will retire after more than a decade in the role, when Banga assumes his new role, the company said in a statement.

It came as Mastercard on Monday said its net revenue in the first quarter will take a hit of between two and three per cent over its previous forecast if the coronavirus persists. The company now expects revenue growth between nine per cent and 10 per cent in the current quarter as the virus impacts travel and e-commerce across borders.

The credit card issuer also expects that net revenue growth on a year-over-year basis in 2020 would be at the low end of the low-teens range if the impact of the virus is limited to the first quarter.

Reuters

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