Fintech in Chile – statistics & facts
Chile may not rank among the top fintech hubs in Latin America—trailing behind Brazil, Mexico, Colombia, and Argentina—but its fintech sector has experienced significant growth in recent years. By early 2024, the number of fintech companies operating in the country surpassed 300, and the user base for fintech services also saw a notable increase. This surge highlights Chile's growing importance in the region's financial technology landscape, even if it remains a smaller player compared to its larger neighbors.
Enterprise financial management and payments and remittances are the largest segments within Chile's fintech sector, together accounting for roughly one-third of all fintech companies in the country. However, the sector faces some ongoing challenges. Investment activity in Chile's fintech scene declined sharply in 2023, mirroring global trends, and about 40 percent of Chilean fintechs reported annual revenues of less than 500,000 U.S. dollars.
Chile’s fintech sector may not yet rival the region's largest hubs, but its rapid growth and increasing adoption of technologies like AI demonstrate its potential to become a significant player in Latin America. While challenges such as declining investment activity and limited profitability persist, the country's fintech ecosystem is evolving, with many companies advancing into growth and expansion phases.
Enterprise financial management and payments and remittances are the largest segments within Chile's fintech sector, together accounting for roughly one-third of all fintech companies in the country. However, the sector faces some ongoing challenges. Investment activity in Chile's fintech scene declined sharply in 2023, mirroring global trends, and about 40 percent of Chilean fintechs reported annual revenues of less than 500,000 U.S. dollars.
The Chilean fintech ecosystem
Chile’s fintech landscape has expanded significantly in recent years, with the number of fintech companies steadily increasing. Despite this growth, profitability remains a challenge for many of these companies, prompting many to seek additional capital. However, over 50 percent of them managed to raise only between 0 and 500,000 U.S. dollars in 2023, while only about 10 percent of them raised over five million U.S. dollars. In terms of maturity, a little over 50 percent of the Chilean fintechs were in their growth and expansion phase in early 2024, and an additional 23 percent of them were ready to scale. The primary targets of Chilean fintechs are banked individuals and corporate and large banked companies, together accounting for 40 percent of all fintechs in the country.Key fintech trends: the rise of AI in the fintech sector
One of the notable trends in the Chilean fintech sector is the swift adoption of artificial intelligence (AI). In 2023, Chile ranked first among the leading Latin American countries in AI readiness, excelling in areas such as infrastructure, talent, research, development, and governance, distinguishing itself from all its regional counterparts. AI experienced the most significant surge in adoption between 2021 and 2024, particularly in applications for decision-making processes and task automation, which are the leading business segments in terms of AI usage.Chile’s fintech sector may not yet rival the region's largest hubs, but its rapid growth and increasing adoption of technologies like AI demonstrate its potential to become a significant player in Latin America. While challenges such as declining investment activity and limited profitability persist, the country's fintech ecosystem is evolving, with many companies advancing into growth and expansion phases.
