Mexico FinTech News
Banking Convention & Fintech
Fintechs upped their presence in the annual banking convention, with some now already fully operating as regulated banks (Kapital, Covalto, Ualá, Bankaool) and others recently getting licenses (Nu, Plata, Revolut) but yet to begin operating.
Victoria Rodríguez, the Central Bank Governor, in her speech emphasized the benefits of financial innovation, and with various new bank licenses having just been given out, the authorities have clearly finally become a bit more focused on promoting more competition in the banking sector, rather than just financial stability. Rodríguez further announced that the Central Bank is developing a platform to provide personalized digital credit solutions. Given the Central Bank’s failure to make a success of CoDi and DiMo (and lack of accountability related to that failure – especially compared to Brazil’s Central Bank success with PIX) means hopes for the wide adoption of such a digital credit platform should be tempered.
Meanwhile President Claudia Sheinbaum in her speech emphasized the need to expand credit access in Mexico, noting that only 33% of the population currently has access to financing, a figure below that of countries like Chile, Peru, and Colombia. She announced a new agreement with private banks to increase lending to SMEs. She called for lower interest rates and simplified credit procedures to enhance financial inclusion.
Other highlights:
- In the Bloomberg Línea podcast with Jimena Tolama, hosted at the Convention, Rubén Coppel, Chairman of BanCoppel, highlighted the bank’s role in advancing financial inclusion in Mexico. He noted that over 15 million people have joined the financial system through BanCoppel — and half of them had no prior credit history. Coppel stressed that inclusion isn’t just about access; it’s about understanding and accompanying the client from day one with clear, responsible products. However, he argued that BanCoppel’s edge lies in its human connection — over 1,300 branches offering face-to-face service to those traditionally excluded from banking.
- Addressing reporters at the 88th Banking Convention, Banamex’s CEO Manuel Romo said there is “no deadline” for Citi to dispose of its Mexican (mostly) consumer bank, depending instead on market conditions and “other criteria”. Mr. Romo said the bank is not considering alternatives to the announced IPO, but stopped short of definitively ruling out a direct sale. (Rumored bidders have included Mexican billionaire Fernando Chico Pardo, as well as German Larrea’s Grupo Mexico.)
- Greater digitalization and reducing the use of cash are priorities for the federal government, according to Finance Minister Édgar Amador. We couldn’t agree more, but we’ve heard this before. There’s only so much fintechs can do when most people have incentives to stay off the grid, and the government does almost nothing about it.
- Banks pledged to increase loans to SMEs by 3.5% annually.
- There are seven bank license requests currently under consideration.
MELI Reaches New High; Mercado Pago Aims to Expand Consumer Banking Services in Mexico
Mercado Pago is clearly the fintech to beat in Mexico, and 1Q25 results show from a volume perspective it going from strength to strength. As outsiders, we’d complain disclosure by country is so limited it’s next to impossible to say much other than it’s growing a lot – but it is growing a lot. The company’s shares reached a new all-time high after 1Q25 results beat expectations, with the top line surging 37% YoY (an impressive 64% on a constant currency basis). In Mexico, Mercado Pago GM Pedro Rivas said the company will continue to strengthen its consumer financial services. With over 1.5 mn active credit lines, the fintech is positioning itself as a huge player in Mexico’s retail banking space. Additionally, it has granted more than 2mn loans to over 300,000 SMEs.
Letter to Shareholders | Earnings Presentation | El Economista, 05/09/25, Edgar Juárez: Mercado Pago aims to expand consumer banking services in Mexico
Additional reading…
LatAm FinTech News
Nubank Appoints Former Brazilian Central Bank Chief Roberto Campos Neto to Its Board
Nubank has named Roberto Campos Neto, former president of Brazil’s Central Bank, as its new Vice Chairman and Global Head of Public Policy. Campos Neto will assume the role on July 1, 2025, after completing a six-month mandatory cooling-off period following his departure from public office. Reporting directly to CEO David Vélez, he will support Nubank’s international expansion, regulatory engagement, and long-term strategic planning. With nearly two decades at Santander and a six-year tenure at the Central Bank, Campos Neto brings extensive financial leadership experience to one of Latin America’s leading digital banks.
Bloomberg Línea, 05/06/25, Sérgio Ripardo: Nubank appoints former Brazilian Central Bank Chief Roberto Campos Neto to its board
Credicuotas Secures US $33mn in Bond Issuance to Expand Consumer Lending
Argentine fintech Credicuotas has raised US $33mn through its 12th corporate bond issuance, marking a record milestone for the company. The issuance was led by BIND Banco and BIND Inversiones and authorized by Argentina’s National Securities Commission (CNV). The funds will be used to diversify Credicuotas’ funding sources and support the expansion of its consumer lending portfolio in the country.
LatamList, 05/09/25, Araceli Dominguez: Credicuotas secures US $33mn in bond issuance
Kiwi Raises US $10mn and Launches in Peru
Miami-based fintech Kiwi has raised US $10mn—US $2mn in equity and US $8mn in debt—in a round led by Tyler Johnson, Beau Woodward, and Jacob Panero, who will also join the board. Kiwi specializes in healthcare financing, offering installment plans for patients and services like medical equipment leasing and working capital loans for providers. The company will use the funds to launch operations in Peru and plans to expand to Mexico in 2026. Founded by Sebastian and Gabriel Chirinos, Kiwi currently partners with 73 clinics in Peru and has a pipeline of 150 more.
LatamList, 05/06/25, Matheus Tomé: Kiwi raises US $10mn and launches in Peru
Global FinTech News
eToro Seeks to Raise US $500mn Through Nasdaq IPO
Israeli fintech eToro is preparing for a Nasdaq IPO on May 14, 2025, aiming to raise US $500mn at a target valuation of US $4bn. The company will offer 10mn shares priced between US $46 and US $50, with half sold by the company and the rest by existing shareholders. Founded in 2007 in Tel Aviv, eToro operates a social trading platform with over 40mn users across 75 countries. In 2024, it reported US $192mn in net income and US $787mn in net contribution. The IPO is being underwritten by Goldman Sachs, Jefferies, UBS, and Citigroup, with BlackRock reportedly interested in acquiring up to US $100mn in shares.
Banking Dive, 05/07/25, Gabrielle Saulsbery: eToro seeks to raise US $500mn through IPO
Finom Secures US $105mn Growth Investment from General Catalyst to Accelerate European Expansion
Amsterdam-based fintech Finom has raised US $105mn (€92.3mn) in growth capital from General Catalyst’s Customer Value Fund (CVF) to fuel its expansion across Europe. Founded in 2019, Finom provides digital financial services for SMEs and freelancers, including localized IBAN accounts. The company serves over 100,000 businesses across Germany, France, Spain, the Netherlands, and Italy, and plans to expand to all Eurozone countries by the end of 2025.
FF News, 05/07/25, Staff: Finom secures US $105mn growth investment from General Catalyst to accelerate European expansion
Additional Reading…
- BigCommerce selects Klarna as payments partner to help merchants optimise checkouts
- N26 enters Germany’s telecommunication market with digital mobile plan offer
- AvidXchange Agrees to be Acquired by TPG in Partnership with Corpay for $2.2 Billion
Download PDF: MI-MxFintechChatter-051225