Hola amig@s fintech,

We hope you're having a fantastic weekend! To make it better, here's the latest in LatAm fintech news. 

 If you’re reading this on the web, we’d appreciate your support by sharing and subscribing.  

🩵 Until next weekend. Até a próxima!

• Lorena

📊 Stat of the Week

Minimum wages in LatAm are showing great variability at the start of 2025. Mexico leads the region with a 12% increase in the daily minimum wage, reaching USD $18, while the Free Trade Zone of the Northern Border registers USD $27. In contrast, Venezuela has the lowest wage in the region. Chile stands out with a monthly wage of USD $520 (Source).

📖  Read of the Week

“Perspectives on digital transformation, fintech and financial inclusion: Latin America and the Caribbean” by the Inter-American Development Bank, highlights the transformative impact of fintech on digital inclusion and financial accessibility across LatAm and the Caribbean. It underscores that over 50% of adults in the region remain unbanked, presenting a significant opportunity for fintech companies to address financial inclusion. The report shows a remarkable rise in fintech activity, with the number of startups increasing by over 200% since 2017, reaching nearly 2,500 companies in 2023. Notably, 40% of these startups focus on payments and remittances, while lending services account for 25%. The study emphasizes the importance of open banking and regulatory frameworks to foster innovation and competition, crucial for reaching the 46% of individuals still reliant on cash transactions in their daily lives. 

🦉 Post of the Week

🎙️ Podcast of the Week

💸 Venture Financing

💸 Equity

🇨🇴 Finmaq, the Colombian platform specializing in financing productive machinery purchases, raised $29 million in a funding round led by Alive Ventures, with participation of 30N Ventures. The funds will be used to expand its services and support SMEs in acquiring essential equipment to boost productivity. 

💰 Venture funds 

🇧🇷 Big Bets, the Brazilian venture capital firm, announced the first closing of its $60 million fund. The fund focuses on investing in early-stage startups across various industries, particularly in fintech and technology-driven businesses. 

📺 Sponsored Content

Want to sponsor a newsletter? See our sponsorship information here or reach out to latam@thisweekinfintech.com. Want to sponsor an event with the TWIF LatAm community?  Check out the FAQ here, send us your info via this form or reach out to latam@thisweekinfintech.com

☯️ Exits

🏦 M&A - Banks, Insurers & Incumbents

🇲🇽 Mexican banks, including Banamex and BBVA, sold their 21.8% stake in Buró de Crédito, Mexico’s credit bureau, to TransUnion, the leading US-based consumer credit reporting agency. The transaction aims to enhance data analytics and financial access in the region by integrating TransUnion’s global expertise with Buró de Crédito’s extensive Mexican market data. No further details about the terms were disclosed.

 🚀 Product Launches & Partnerships

💻 Fintech 

🇧🇷 PicPay, the Brazilian digital payments platform, announced the integration of Pix by Approximation through Google Wallet. This new feature allows users to make contactless Pix payments directly from their phones without opening the PicPay app. PicPay’s own payment terminals are the first in the market to support this transaction method.

🇦🇷 Bamboo, the Uruguay-based cross-border payment solutions provider, and Tiendamia, the US-based e-commerce platform, announced a partnership to streamline payment operations in Argentina. The partnership aims to address currency conversion challenges, enabling Tiendamia to offer more competitive pricing in Argentine Pesos. 

🌎 Nubank announced it is expanding its rewards program for users holding USDC, offering a fixed annual return of 4% on balances over 10 USDC. The program allows all Nubank crypto customers to earn daily rewards with immediate liquidity. 

🌎 Tapi, the Argentinian digital payment solutions platform, announced it has renewed its partnership with Utoppia, the US-based digital banking platform, expanding their cross-border payment services to include Peru. 

🌎 Littio, the Colombian digital banking platform specializing in USDC solutions, announced the expansion of its services to Mexico, Peru, Chile, and Argentina. The expansion aims to provide users with dollar-denominated savings accounts, international transactions, and protection against local currency volatility. 

🏦 Financial Services & Banking 

🇲🇽 Nu México and Oxxo, the largest Mexican convenience store chain, announced a partnership to expand its cash deposit and withdrawal network. Over 9 million Nu customers will be able to withdraw cash at more than 22,000 Oxxo stores across the country. 

🇲🇽 Belvo, the Mexican Open Finance platform, and J.P. Morgan Payments announced a partnership to enhance recurring payment solutions in Mexico. This partnership aims to provide businesses with an automated direct debit system, improving cash flow and reducing manual interventions. 

📜 Policy

🇦🇷 Argentina's Central Bank enabled debit card payments in US dollars for local transactions. This system allows customers to directly debit dollar accounts for purchases, aiming to provide greater flexibility and convenience for dollar-based transactions.

🇧🇷 PagSeguro and Dock, two Brazilian fintechs, received authorization from the Central Bank of Brazil to operate as payment transaction initiators (ITPs). This regulatory approval will enable them to enhance their offerings within Brazil’s open finance framework.

🇧🇷 Airwallex, the global payments platform, received approval from the Brazil Central Bank as payment institution. The company aims to leverage the region's high demand for cross-border payment solutions and position itself as a leader in the digital payments space.

🇲🇽 The Mexican CNBV (National Banking and Securities Commission, financial regulator) is preparing to revoke the authorization of Sofipo Auxi, a financial institution under scrutiny for failing to meet regulatory requirements. 

🇲🇽 Grupo Bolsa Mexicana de Valores (BMV), the operator of the largest stock market in Mexico, announced the creation of a new Executive Commercial and Marketing Department, which will strengthen and unify its commercial strategy and will be headed by Luis René Ramón Arana.

📰 Other News 

🇦🇷 Florencia Bravo Losada was named CFO at Geopagos.

🇧🇷 Camilla Chiarentin was named Head of Investments at PicPay.

🇧🇷 Marco Bordon was named Executive Director of Relationship and Business Management Pays at CSU Digital.

🇧🇷 Rafael Littieri was named Country Manager at Geopagos Brazil.

🇲🇽 Santander announced 'Mundo Hogar,' a digital platform focused on facilitating homeownership in Mexico. The platform offers tools for saving, planning, and financing, making home acquisition more accessible to individuals and families. This aligns with the bank's efforts to provide innovative solutions for housing and financial inclusion.

🇵🇷 Olé Life, the leading Puerto Rican insurtech company, raised $13 million in Series B funding, led by PayPal Ventures with participation from Mundi Ventures, AV8 and Advent Morro. 

🇧🇷 PayPal has become Brazil's preferred digital wallet, surpassing local competitors like PicPay and Mercado Pago. PayPal’s widespread adoption, attributed to its global reach and user-friendly platform.

🇲🇽 The Mexico City Metro is transitioning from traditional cards to a new payment system integrated with contactless technology. Starting in 2025, users can pay using smartphones, wearables, or QR codes, simplifying access to public transportation across the city.

📚 Deeper Reads

Can cryptocurrency and blockchain drive fintech innovation?

The Year Of Fintech? 5 Predictions For Fintech And VC In 2025

Big Tech expands its reach with new startup acquisitions and investments

What role does Open Banking play in the transition to a smart data economy? 

How did Donald Trump deal with crypto during his first term?

📣 LatAm startup alum who have been impacted by layoffs and recruiters looking for top talent, check out the Startups Alumni and Layoffs Brasil databases.  

If you’re looking to hire from a group of 10,000+ smart, motivated fintech professionals, come pick up a Collective Pass and post a job here.  If you’re looking for your next adventure at one of the best fintech companies, check out the open roles here!

Made in LatAm with 🩵 by Elena, Daniela, and Lorena

👍👎 Did you like this edition of TWIF LatAm?  Take a 1-minute anonymous survey here.

Come meet us in person at www.thisweekinfintech.com/events. You can also join our global community on Twitter, LinkedIn, and Instagram.