The South America Digital Payment market is predicted to add more than USD 10 Billion from 2024 to 2029 due to increasing smartphone adoption

The Latin American payments market is booming, with a CAGR exceeding 8% and a projected value of $X billion in 2025. Discover key trends, leading fintech companies, and regional market shares in this comprehensive analysis. Learn about the growth drivers, restraints, and future outlook for digital payments in Brazil, Mexico, and other key Latin American markets. Recent developments include: July 2021 - Z1, a digital bank geared at Latin American GenZers based in Sao Paulo, has secured USD 2.5 million in a round led by Homebrew in the United States. Z1 is a digital banking software designed specifically for teenagers and young people. The company was formed on the idea that Brazilian and Latin American teenagers may become more financially independent by using its app and linked prepaid card. Z1 is focused on Brazil but the startup has plans to expand into other countries in Latin America over time., June 2021 - Conductor, a leading payments & banking as service platform in Latin America, has announced the arrival of its technological platform in Mexico, considered strategic for the internationalization and global expansion of the company.. Notable trends are: Brazil and Mexico, are Dominating the Market.

The number of digital B2B payments in Latin America is forecast to increase by nearly ** billion after 2023, as businesses move away from cash. This is according to research from Capgemini Research Institute for Financial Services Analysis. In 2023 - the most recent year estimated by the source - **** billion cashless transactions were carried out in the Latin America region, including Mexico. The source does not clearly state clear whether this includes both domestic and cross-border payments. It does point towards the importance of Swift and ISO 20022, as these initiatives hope to improve B2B cross-border payments in regions such as Latin America.

Latin America Mobile Payments Market size was valued at USD 285.3 Billion in 2024 and is expected to reach USD 890.5 Billion by 2032, growing at a CAGR of 15.2% from 2025 to 2032.

Key Market Drivers

Growing Smartphone Penetration: Growing smartphone adoption drive the Latin American mobile payments market. Smartphone use reached 73% in 2022 and is expected to reach 80% by 2025, giving more people access to digital payment alternatives. Brazil leads the area in mobile payment use, with an 85% smartphone penetration rate. The ubiquitous availability of cellphones allows for smooth transactions using digital wallets and payment apps.

Large Unbanked Population: The massive unbanked population in Latin America is fueling the mobile payments market. According to the World Bank, over 45% of adults in the region will still be unbanked by 2023. In Mexico, 53% of persons do not have access to standard banking services. This gap generates a high demand for alternative financial solutions.

The report covers Latin America Mobile Payment Market Providers and it is Segmented by Payment Type (Proximity & Remote).

The Latin American POS terminal devices market is booming, with a projected CAGR of 6.20% through 2033. Driven by digital payments adoption and e-commerce growth, this market offers lucrative opportunities for businesses. Learn about key players, market trends, and regional insights in this comprehensive analysis. Recent developments include: December 2021 - Redelcom, a Chilean provider of payment services acquired by the Latin American eCommerce company Mercado Libre. The Mercado Libre intends to strengthen the expansion of its various payment instruments and digital financial solutions in Chile and consolidate its value proposition. Key drivers for this market are: Low Total Cost of Ownership Compared to Other Channels of Payments, Significant Rise in the Demand for Contactless and Mobile POS Terminals. Potential restraints include: High Costs Involved. Notable trends are: Mobile/Portable Point-of-Sale Terminals Expected to Witness Significant Market Share.

Discover the explosive growth of the Latin American real-time payments market! This in-depth analysis reveals a CAGR of 15.10%, driven by fintech innovation, e-commerce boom, and mobile adoption. Explore key players, regional trends, and future forecasts for Brazil, Mexico, and other key markets. Recent developments include: March 2022 - AstroPay, the online payment solution of choice of over five million users globally, announced the expansion of Payment Links across Latin America, now launching in Peru, Chile, Mexico, and Colombia. This is part of the company's plans to introduce it worldwide following the first launch in Brazil in December 2021. Payment Links is AstroPay's newest capability, designed for small and medium-sized enterprises (SMEs) to enable business owners to collect online and remote payments by simply sharing the link with their customers and get paid instantly, easily, and securely., November 2021 - Mastercard announced that it had acquired Arcus FI, an alum of the company's Start Path program, to support the delivery of bill pay solutions and other real-time payment applications across Latin America. With offices in New York and Mexico City, Arcus helps enable bill pay and cash-in, cash-out services for some of the biggest billers, retailers, fintechs, and traditional financial institutions in the U.S. and Mexico, with expansion into Latin America. Its flagship solution, the Arcus Pay Network, has access to the largest retailers and a direct connection with many of the largest billers in Mexico.. Key drivers for this market are: Increasing Smartphone Penetration, Immediacy and Ease of Convenience of the Real Time Payments. Potential restraints include: Increasing Smartphone Penetration, Immediacy and Ease of Convenience of the Real Time Payments. Notable trends are: P2B Segment is Expected to Gain Significant Traction in the Market.

Wallets and other alternative payment methods were used the most in e-commerce in Colombia and Brazil, while payment cards were most often used in Ecuador. This is according to a distribution of e-commerce spending in 15 different countries in Latin America, separated by cards as opposed to other non-card digital payment methods. The ** percent market share for alternative payments in Brazil is due to the sizable growth of Pix. Latin Americans across multiple countries use (credit) cards more frequently for online shopping than for offline purchases in brick-and-mortar stores. Latin America is a large market for credit cards In terms of the number of credit cards issued by country in Latin America, Brazil significantly outpaces other countries. It had approximately *** million credit cards in circulation in 2022, a number far higher than the roughly ** million credit cards in Argentina. Notable is the relatively high use of Visa in Mexico, Argentina, and Peru - with processed volume reaching over ** percent of all payments in those countries, be they cash or digital. Mastercard is used relatively often in Brazil and Colombia. Wallets to grow in physical stores The market share of digital wallets in either POS or e-commerce transactions was lower in Latin America than the likes of Asia-Pacific or North America. Wallets accounted for nearly ** percent of e-commerce transaction value in Asia-Pacific in 2023, compared to ** percent in Latin America. Where Latin America differs from the rest of the world is its outlook: It is forecast to be the only region in the world by 2027 where in-store use of digital wallets is more common than its use in e-commerce.

Discover the booming Latin American digital banking market! This analysis reveals a CAGR exceeding 5%, driven by fintech innovation and increasing smartphone adoption. Learn about key players like Nubank and Neon, market trends, and future projections to 2033. Notable trends are: Increase in Customer Base helps in Neo Bank growth In Latin America.

The South America Digital Banking Platform market is projected to add more than USD 600 million from 2024 to 2029, driven by factors such as the increasing adoption of digital bank

The South American challenger bank market, valued at $389.26 million in 2025, is experiencing robust growth, projected to expand at a compound annual growth rate (CAGR) of 12.57% from 2025 to 2033. This surge is driven by several factors. Increased smartphone penetration and internet access across the region are fueling the adoption of digital financial services, particularly among younger demographics underserved by traditional banks. Furthermore, challenger banks are effectively leveraging technology to offer superior customer experiences, including streamlined onboarding processes, personalized financial management tools, and 24/7 accessibility. This focus on user experience, combined with competitive pricing and innovative product offerings like mobile-first savings accounts and customizable credit options, is attracting a significant customer base. Regulatory changes promoting financial inclusion are also contributing to market expansion. However, challenges remain, including concerns around data security and the need for continued investment in robust technological infrastructure to maintain service reliability and scalability across diverse geographical areas and varying levels of internet connectivity. Competition among established players and the entry of new entrants will continue to shape the market landscape. The market segmentation reveals a strong demand across both business and personal segments. The service type breakdown shows significant traction across payments, savings products, and consumer credit. Key players like Nubank, Uala, Albo, Nequi, DaviPlata, Banco Inter, Neon, C6 Bank, and Burbank are leading the charge, each focusing on specific niches within the market and employing varied strategies to attract and retain customers. The continued expansion of these banks, coupled with the entry of new players, points towards a highly dynamic and competitive market with significant growth potential throughout South America, particularly within countries such as Brazil, Argentina, and Colombia, which boast the highest levels of digital adoption and fintech investment. Future growth hinges on the continued enhancement of digital infrastructure, improved financial literacy, and sustained regulatory support for fintech innovation. Recent developments include: In November 2023, N26, a German challenger bank, announced its exit from Brazil, marking the end of its two-year stint in the South American market. This move aligns with N26's strategic shift in geographical focus. The bank made its foray into Brazil in 2021, having obtained a Sociedade de Crédito Direto (SCD) license from the Banco Central do Brasil., In October 2023, Nubank had introduced over 40 new products and features, including innovative credit options like FGTS anniversary withdrawal anticipation and NuConsignado for INSS retirees and pensioners. With operations in Brazil, Colombia, and Mexico, Nubank has exceeded 90 million customers in Latin America, solidifying its position as one of the world's fastest-growing financial services firms.. Notable trends are: Rising Fintech Investments in South America Fueling the Growth.

Latin America's Payment Analytics Software market was USD 206.23 million in 2024 and is foreseen to rise at the compound annual growth rate (CAGR) of 4.9% from the year 2024 to 2031. The market is foreseen to reach USD 318.0 million by 2031 due to the rapid adoption of digital payments.

Latin America Contactless Payment Market growth is driven by increasing adoption of digital wallets, advancements in NFC and QR code technologies, and expanding applications in retail and transportation sectors.

Latin America Banking as a Service (BaaS) Market size was valued at USD 2.13 Billion in 2024 and is expected to reach USD 3.45 Billion by 2032, growing at a CAGR of 6.2% from 2025 to 2032.

Key Market Drivers

Large Unbanked Population: The significant unbanked population fuels the Latin America Banking-as-a-Service (BaaS) market. According to the World Bank's Findex Database 2021, 45% of adults in the region are unbanked, which equates to more than 200 million individuals. This sizable untapped market gives numerous potential for BaaS providers to develop digital banking solutions.

Rapid Growth of Smartphone Penetration & Internet Connectivity: The rapid growth of smartphone penetration and Internet connectivity boost the Latin America banking as a service market. According to GSMA Intelligence 2023, mobile internet penetration in the region rose to 72% in 2022 and is expected to reach 80% by 2025. This increased digital connectivity fosters an optimal environment for mobile banking and digital financial services. As smartphone usage grows, consumers will have greater access to banking services.

The Report Covers Latin America Fintech Market Size & Payment Trends and it is Segmented by Service Proposition (Money Transfer and Payments, Savings and Investments, Digital Lending & Lending Marketplaces, Online Insurance & Insurance Marketplaces, and Others), and by Country (Brazil, Mexico, Argentina, and Rest of Latin America).