In brief
Brazil leads on daily use. Mexico is catching up on capital.
Latin America’s fintech story is usually told through funding rounds. This FurtherMarkets paper looks at what people actually do: how often adults pay instantly, how far open finance has gone, where capital is flowing and how many licensed digital banks are open, across Brazil, Mexico, Argentina, Chile, Colombia and Peru.
It finds that Brazil’s lead rests on everyday use: Pix and live open finance put it ahead, and the paper expects that lead to hold through 2029. Mexico out-raised Brazil in the first half of both 2025 and 2026 and has at least as many licensed digital banks, yet its adults make far fewer instant payments.
The paper sets out what would have to change for Mexico to close the gap, and the data releases that will show whether it is.
Written for fintech investors and financial-services operators sizing their exposure across Latin America.
From the scorecard · one of five pillars
How often adults pay instantly
Instant payments · per adult · 2025
Source: central banks of each market, population aged 15 and over; FurtherMarkets estimates, 2025.
What the paper covers
Five chapters on the gaps that are closing, and those that are not.
Each chapter ends with what it means for business. The paper closes with the forces at work, three scenarios to 2029, the signposts to watch and what it means for each kind of reader.
- 01Brazil’s lead is in daily useBrazil leads on how often people pay, not on value.
- 02What holds challengers backWhy digital-payment reach and frequency lag in Mexico.
- 03Licensed digital banks spreadNu takes its Brazilian model to Mexico as a bank.
- 04Capital by market and half-yearMexico led startup funding in the first half of 2025 and 2026.
- 05The next competitive cycleOpen finance is live in Brazil; Chile and Colombia follow.
Scenarios to 2029
Three paths for the gap between Brazil and Mexico.
Brazil Keeps a Wide Lead
Mexico’s rate stays well below Brazil’s
Probability and signposts in the paper
Mexico Narrows the Gap
New digital banks move payments onto SPEI
Probability and signposts in the paper
Mexico Closes In
SPEI replaces cash at retail
Probability and signposts in the paper
Questions this paper answers
What readers ask first.
Is Mexico catching up with Brazil in fintech?
On capital, yes: Mexican startups out-raised Brazil’s in the first half of 2025 and 2026, and Mexico has at least as many licensed digital banks. On everyday use, not yet: Mexican adults made 72.9 instant transfers each in 2025, against 416 Pix payments in Brazil.
Why does Brazil lead?
Pix made instant payments free and universal, and open finance is live. The paper shows how daily use, not funding, explains Brazil’s position.
Which markets are moving fastest on open finance?
Brazil is live; Chile and Colombia have made it mandatory, with Colombia’s decree of April 2026 setting the timetable. The paper scores all six markets.
What should operators watch?
Banco de México’s and Banco Central do Brasil’s payment data for 2026 and 2027, and the growth of Mexico’s DiMo mobile transfers. The paper explains the thresholds that would change the picture.
Cite this paper
Scala, F. (2026). Latin America’s Fintech Divide. FurtherMarkets Insight Paper, version 1.2, October 2026. Further Markets Technologies Ltd.
Sources include Banco Central do Brasil, Banco de México, the central banks and regulators of Argentina, Chile, Colombia and Peru, company filings, LAVCA and the World Bank.
The scorecard, the tiers and the scenarios are in the paper.
Free, in English and six other languages.