One of the great paths that technology opened in the world of finance is the possibility that many ventures, small and medium-sized enterprises, can access financing in conditions where it even makes an apparent a couple of years was impossible. Digitization caused a disruption that has opened up previously unthinkable channels to accommodate ideas that seek not only to bring new businesses, employment opportunities or give dynamism to local and regional economies, but to close one of the big gaps in terms of access.
The World Bank estimates that 51% of Latin America’s adult population has a bank account. This figure is relevant not only because of the size of the market itself, but because of the potentials that open up in terms of products and services that can be developed for those customers and also for what they can do for others who are not yet banked. This is where we need to talk about inclusion seriously and that’s what will be sought at Finance Disrupted Latam, an event organized by The Economist, and that will bring together various players in the financial industry who will analyze not only the future of fintech, but also also how to contribute to inclusive growth in the region.
I put other relevant figures on the table. In Latin America, small and medium-sized enterprises account for more than 90% of businesses. However, the barriers to accessing financing hold back any intention, however good it is.
The Inter-American Development Bank (IDB) estimates that the gap in access to capital by these companies ranges from US$210 billion to US$250 billion. Here, the question that is logical is what role it is for financial institutions to bring these worlds closer, which are, in theory, distant, but in practice they can, and should, be much more half-timbered.
Innovations exist and many. In recent years, with the help of fintech we have observed the emergence of mobile money, bitcoin and blockchain, to name a few.
The money market has been transforming, gaining an increasingly agile profile in terms of transactions. This, for its part, has led us to open new lines of knowledge, trial and error, supported by the construction of a regulation for the care of personal data or the structures that support this true revolution.
Similarly, we have had to look carefully at the security mechanisms that we must be able to create so that not only that 51% to which the World Bank refers, but at all that potential market that is eager to feel part of this true disrupc you feel completely safe.
The current reality of Latin America calls us to continue to work hard to continue to cement this path of transformation. Let us think about the inclusion of the hand of technology and transform that desire into concrete tools that allow millions of people to access new and better opportunities, to give life to their ideas, to create their own businesses and to realize that desire that they have to be a relevant player in their different markets.
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