Latin America Prepaid Card and Digital Wallet Business Report 2024: Latin American Market Projected to Reach US$109.38 Billion by 2028 - ResearchAndMarkets.com

The "Latin America Prepaid Card and Digital Wallet Business and Investment Opportunities Databook - Market Size and Forecast, Consumer Attitude & Behaviour, Retail Spend - Q1 2024 Update" report has been added to ResearchAndMarkets.com's offering.

The prepaid card and digital wallet sector in Latin America has experienced a notable surge, showcasing a compound annual growth rate (CAGR) of 8.8% over the period from 2019 to 2023. The market is poised for further expansion with a forecast CAGR of 10.7% between 2024 to 2028, anticipated to reach a value of US$109.38 billion by the end of the forecast period.

The growth trajectory of the market is bolstered by a robust fintech ecosystem and escalating investments in digital payments infrastructure. The trend reflects a growing demand for non-traditional banking solutions, particularly among unbanked and underbanked demographics, underscoring a positive outlook for the industry over the coming years.

Fintech & Digital Banks Expansion

Key players in the fintech and digital banking space are capitalizing on the burgeoning demand for prepaid payment instruments such as digital wallets and prepaid cards. Notably, regional expansion strategies are being employed to leverage the market opportunity, which is further expected to stimulate an increase in mergers and acquisitions activity in the medium term.

One case in point is the Uruguayan fintech firm Prex, projecting an ambitious user base growth for its virtual wallet. The firm targets strengthening its foothold in markets like Argentina, Peru, and Uruguay, while branching out into others like Chile and Paraguay.

Traditional Banks Embrace Digital Innovation

In response to the fintech revolution, traditional banking institutions are also vying for a share of the digital customer base through innovative neo-banking solutions. This is evidenced by Itaú’s venture into the neo-banking sphere via its digital platform Iti, aimed at offering convenient payment options to its customers in Chile.

With the implementation of the fintech law introducing concepts like Open Finance, the groundwork has been laid for an even more competitive and growth-conducive environment for the prepaid card industry in Chile.

Debate on Debit Card Fees

In Chile, the discourse surrounding financial transactions has been ignited by Walmart’s opposition to fees proposed by Transbank for debit card transactions. Walmart maintains a firm stance on negotiating fees that align with its low-price strategy, emphasizing the need for affordable solutions for low-income customers.

This stance has important implications for the prepaid card industry, as it highlights the critical importance of fee structures in the accessibility of digital payment services.

Comprehensive Market Analysis

The report provides an expansive analysis of the prepaid payment instruments market, encompassing various consumer segments, behavioral trends, and detailed insights into retail spend dynamics. The thorough market understanding is exemplified through over 100 key performance indicators at the country level, offering stakeholders a comprehensive view of the prepaid card and digital wallet industry across Latin America.

The prepaid card and digital wallet market in Latin America is on an upswing, with significant growth anticipated over the next few years.

The market is witnessing a dynamic interplay between traditional financial institutions embracing digital offerings and fintech enterprises expanding their reach, together contributing to a highly competitive landscape poised for innovation and customer-centric offerings.

Report Scope

• Prepaid Payment Instrument Market Size and Future Growth Dynamics by Key Performance Indicators
• Digital Wallet Market Size and Future Growth Dynamics by Key Performance Indicators
• Digital Wallet Market Size and Future Growth Dynamics by Key Segments
• Digital Wallet Retail Spend Dynamics
• Prepaid Card Industry Market Attractiveness
• Open Loop Prepaid Card Future Growth Dynamics, 2019 - 2028
• Closed Loop Prepaid Card Future Growth Dynamics, 2019 - 2028
• Prepaid Card Market Share by Key Players
• Prepaid Card Consumer Usage Trends
• Prepaid Card Retail Spend Dynamics
• General Purpose Prepaid Card Market Size and Forecast, 2019 - 2028
• Gift Card Market Size and Forecast, 2019 - 2028
• Entertainment and Gaming Prepaid Card Market Size and Forecast, 2019 - 2028
• Teen and Campus Prepaid Card Market Size and Forecast, 2019 - 2028
• Business and Administrative Expense Prepaid Card Market Size and Forecast, 2019 - 2028
• Payroll Prepaid Card Market Size and Forecast, 2019 - 2028
• Meal Prepaid Card Market Size and Forecast, 2019 - 2028
• Travel Forex Prepaid Card Market Size and Forecast, 2019 - 2028
• Transit and Tolls Prepaid Card Market Size and Forecast, 2019 - 2028
• Social Security and Other Government Benefit Programs Prepaid Card Market Size and Forecast, 2019 - 2028
• Fuel Prepaid Cards Market Size and Forecast, 2019 - 2028
• Utilities, and Other Prepaid Cards Market Size and Forecast, 2019 - 2028
• Virtual Prepaid Card Industry Market Attractiveness
• Virtual Prepaid Card Market Size and Future Growth Dynamics by Key Categories

For more information about this report visit https://www.researchandmarkets.com/r/m6ix35

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