In Latin America and the Caribbean, financial inclusion is still an unresolved issue. Vulnerable populations such as indigenous peoples, Afro-descendant groups, older adults, and (im)migrants face barriers in meeting their daily savings, insurance, investment, and payment needs, and in accessing financial services that respond to their needs.

Digital transformation is revolutionizing financial markets and erasing distances. The emergence of new and innovative business models, products and services, reduced delivery costs, and invigorated competition in the financial markets are bringing significant benefits to consumers, households, and smaller businesses.

Digital payments are sparking a revolution by expanding consumption opportunities for individuals and markets for small businesses, while also creating a new infrastructure that enables the digital transformation of ecosystems and offers new opportunities for innovation.

Open finance allows customers of financial institutions—such as banks and fintechs—to share their information with other institutions for the development of new products and services that are more cost-effective and aligned with their needs. At the same time, it also raises the challenge of safeguarding information security and privacy, as well as ensuring consumer protection.