Overview
Fintech is a booming industry in the Mexican market. Transactions made through mobile devices have experienced significant growth both in value and volume. From peer-to-peer (P2P) lending to mobile payment solutions, fintech and banking technologies represent a best prospect sector in Mexico. Since 2015, the Government of Mexico (GOM) has introduced reforms in the sector with a focus on a financial inclusion strategy, including the introduction of “banking agents” and the development of suitable payments and savings vehicles to transition from a cash-based economy to electronic/mobile payments. Fintech is a key pillar of these initiatives, paving the way for new opportunities for U.S. firms to enter the Mexican market.
With over 1,104 fintech start-ups, Mexico is one of the largest fintech markets in Latin America. According to recent industry studies, it is one of the most active countries backing financial technology ventures. Most Mexican fintech companies are focused on payments and remittances, personal financial management, crowdfunding, and lending.
Due to the growing importance of the fintech industry in Mexico, the Government of Mexico (GOM) published the Fintech (PDF) Law in March 2018. However, most of the substantive content is outlined in secondary regulations. According to the law, the Secretariat of Finance and Public Credit (Secretaría de Hacienda y Crédito Público or SHCP), the Mexican Banking and Securities Commission (CNBV), and the Central Bank (Banxico) are the main regulators of the fintech sector. The law oversees the following services:
- Crowdfunding and Peer-to-Peer (P2P) lending
- Electronic money services
- Virtual assets (cryptocurrencies)
- Application Programming Interfaces (APIs)
- Open Banking
The Fintech Law allows companies and financial entities to obtain a special temporary authorization to offer financial services using technological tools through a pilot testing program for innovative fintech models. Crowdfunding, electronic money, and payment institutions require an authorization issued by CNBV to provide their services in Mexico.
Table 1: The number of FinTechs in Mexico by segment are as follows:
| Segment | Number of Companies |
| Lending | 174 |
| Payment s and remittances | 134 |
| Enterprise financial management | 109 |
| Technologies for financial institutions | 95 |
| Personal financial management | 64 |
| InsurTech | 55 |
| Crowdfunding | 13 |
| Digital banking | 29 |
| Proptech | 59 |
| Wealth Management | 31 |
| Open Finance | 22 |
Source: Fintech Radar Mexico 2025
Opportunities
The reforms and policies implemented by Banxico opened the market for new entities to participate in the Mexican payments industry and facilitated the entrance of new participants as clearing houses, specialized service providers, aggregators, acquirers, issuers, etc. In Mexico, over 85 percent of the population has a mobile phone, and many cannot afford to own a computer. Therefore, many rely on their phones to conduct financial transactions. This provides opportunities for new and improved processes for sending and receiving payments.
In addition, the COVID-19 pandemic accelerated the mobile/contactless trend that had already begun in Mexico. Embedded finance, or the possibility of offering financial services through different platforms, represents a good opportunity for fintech companies to partner with retailers and other industries.
Technologies used by fintech companies are also a good opportunity for U.S. companies.
Table 2: The best prospects and most used technologies in the sector, by market share, are as follows:
| Open finance and APIs | 60% |
| Big data and analytics | 54% |
| Cloud computing | 49% |
| Machine learning | 44% |
| Biometrics | 27% |
| Mobile wallets | 23% |
| Smart contracts | 14% |
| Blockchain | 14% |
Source: Fintech Radar Mexico 2025
Insurtech is quickly expanding in the Mexican market and represents opportunities for U.S. companies, especially in the value chain segments. This includes front office, claim servicing and payout, policy acquisition and subscription, among others.
Trade Barriers
U.S. firms face significant non-tariff barriers in Mexico’s financial services sector. In electronic payment services, Mexico’s policy framework limits the ability of U.S. providers to deliver the full range of cross-border services such as fraud protection and advanced value-added solutions. In 2023, the Federal Economic Competition Commission (COFECE) identified barriers to competition in the card payment processing market and recommended reforms to Banxico and the CNBV. Mexico also issued regulations in 2021 governing the use of cloud computing services by electronic payment fund institutions. U.S. companies report that the approval process for using secure, U.S.-based cloud platforms is lengthy, complex, and uncertain, with some approvals appearing conditioned on the use of local computing facilities. In insurance services, Mexico’s Tax Administration Service (SAT) has retroactively applied value-added tax (VAT) to damage claims dating back as far as 2015. This shift in interpretation has created significant financial exposure for U.S. insurers operating in Mexico and, in some cases, could threaten solvency.
Resources
- Mexican Secretariat of Finance and Public Credit (SHCP)
- National Banking and Securities Commission (CNBV)
Commercial Specialist
For further information and assistance in exploring opportunities in Mexico’s fintech sector, contact: Sylvia Montano (Sylvia.Montano@trade.gov )