Klar Obtains Fintech License from Mexican Authorities
Klar Pago, Klar’s fintech division, obtained its fintech approval license from Mexican authorities. This license will allow the company to expand its operations in the country and offer its customers a wide range of financial services. With this license, Klar Pago acquires a competitive advantage as only 35 fintech fintechs in Mexico are regulated.
Obtaining a fintech approval license in Mexico is a rigorous and complex process that requires companies to comply with tough regulatory standards. “We are delighted to have received our fintech approval license, a significant milestone for our company. This license will allow us to continue cultivating the Klar Pago ecosystem and thus increase participation in the financial lives of our customers,” says Stefan Möller, CEO, Klar.
Mexico’s fintech market has been growing fast in recent years due to the strong demand for innovative financial services. Moreover, the Mexican government has proactively created a regulatory framework that encourages innovation while ensuring that companies operate safely and securely. The Mexican fintech market is expected to continue its rapid growth, driven by the increasing adoption of digital financial services and government efforts to promote financial inclusion.
Regulated fintechs are overseen by Mexico's Central Bank (Banxico), Treasury (SHCP), National Banking and Securities Commission (CNBV) and CONDUSEF. “The Fintech Law and secondary regulation, far from having delayed the development of this ecosystem in Mexico, has boosted it, which is demonstrated by the growth of this kind of entities from 2018 to date,” says Carlos Orta, Regulatory Risk Lead Partner, Deloitte Mexico. Being a regulated fintech entity can be expensive as the company must comply with local regulations and report financial information. However, obtaining this authorization triggers important benefits by increasing customer confidence.
Klar has operated in the Mexican market for several years and has developed a reputation for providing innovative, reliable and secure financial services, including the Klar Pago service offering. With this license, the company can offer various services and help more Mexicans access the financial products they need. “We remain committed to open, collaborative and transparent relationships with regulators as we work together to improve how the financial sector serves people,” says Möller. With this license, Klar is well-positioned to continue its growth and success in the Mexican market.