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November 21, 2024
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Mercado Pago’s relationship with banks shows hope for Latam financial inclusion


In 2023, after three years of the Covid-19 pandemic, Latin American citizens without a financial account decreased dramatically from 45 per cent to 21 per cent, according to a Mastercard report based on data from governments and private institutions. 

Stronger ties between banks and tech companies in the region is set to improve financial inclusion further. The relationship between Mercado Libre, Latin America’s e-commerce giant, and Citi is one such example. In November 2023, Citi injected a total of $466mn into the company’s payments business, Mercado Pago, with the aim of developing its Mexican and Brazilian operations and facilitate credit access for small businesses. 

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