Funding for Latin American fintechs surged in the first quarter, raising hopes that the worst for the industry may be behind it.
A report reveals that 9 in every 10 SMBs in the region are currently underserved. This presents an opportunity for Latin American fintechs.
More than two dozens neobanks are vying for digital customers in Mexico, Latin America's second-largest economy.
The British neobank, serving over 40 million customers globally, has acquired a banking license in Mexico.
After Pix and Open Finance, the central bank of Brazil is closing in on the launch of Drex, its central bank digital currency.
Brazil's Pix has not only reshaped its national payment landscape but also emerged as a catalyst for financial innovation across Latin America, showcasing the potential of instant payment systems. By 2026, Pix is poised to become a dominant force in Brazil's digital economy, reflecting its significant impact on financial inclusion and market competition. Its rapid adoption and innovative features are now inspiring neighboring countries, paving the way for a comprehensive digital payment transformation throughout the region.
The number of fintechs operating in Mexico has grown consistently. Progress in financial inclusion, however, has been far less explosive.
Nubank announced a partnership with Arcus by Mastercard to incorporate cash deposits into its offering in Mexico.
Colombian fintechs have been very active in the VC space in 2024, with a number of startups raising over $150 million in funding so far.
Banking-as-a-Service (BaaS) is growing in popularity in Latin America and is expected to surpass $2 billion in market size this year.