Peru: Unlocking Fintech Potential Through Financial Inclusion
- MD Finance Team
- Apr 27
- 2 min read
This report offers a deep dive into Latin America’s fintech industry. It focuses on Peru, a fast-developing market defined by strong financial inclusion efforts, a growing digital economy, and favourable conditions for alternative lending providers.
Although Peru doesn't yet compete with fintech giants like Brazil or Mexico, it stands out as a strategic market thanks to its regulatory openness, large urban population, and rather stable macroeconomic base. Let’s dive into Peru’s fintech and alternative lending landscape and see what makes this market worth watching.
Peru in the LATAM Fintech Landscape
Despite facing economic and social challenges, Peru maintains macroeconomic stability, with international reserves accounting for 25% of its GDP and a low public debt of 36% compared to the rest of the developing world (63.1%) and the region (81.5%). However, behind these numbers lie deep-rooted disparities such as high poverty rates, limited internet access (only 74% of the population), and security threats to citizens.
Unlike more mature LATAM markets, Peru’s fintech sector is oriented to inclusion. Over 50% of all fintech services target underbanked individuals or small and medium-sized businesses (SMBS) that use just one or no financial products, which is far higher than the regional average.
Peru’s market comprises 678 loan and pawn companies, which are newly required to register with the financial regulator, the Superintendency of Banking, Insurance, and Pension Funds (SBS), as of 2024.
Still, Peru’s fintech market is smaller than those of Chile, Colombia, or Argentina. However, it is one of the fastest-growing, with a 17% YoY increase in fintech companies in 2024.
Key fintech verticals include:
payments and transfers,
lending
finance management tools.
Digital Lending to Bridge the Credit Gap
Peru's fintech industry experiences a quiet transformation. While formal banking services continue to expand, informal lending still plays a major role, particularly for low-income households and underserved communities who remain out of reach for traditional credit providers.
According to the Peruvian Institute of Economics, in 2023:
Over 580K families (about 8% of urban households) took informal loans from moneylenders or pawnshops.
These loans generated an estimated $268 million in annual revenue, representing 79% of all loans to microenterprises and consumer loans from all Rural Banks.
The average informal loan was valued at $461.
Crucially, 49% of borrowers pay interest rates above 500% annually, yet many still view the terms as favourable due to speed, flexibility, and the absence of traditional credit requirements.
These conditions create the massive unmet demand for accessible, affordable credit products in rural areas or for high-risk individuals. On the technology side, AI, automation, and biometrics are accelerating credit scoring and the know-your-customer process, making Peru a promising market for low-friction, high-speed lending innovations.
Download the full report to explore key players and get more insights on Peru’s fintech market and digital lending:
