Mexico Creates Almost 1 million Jobs in Dec. 2021

The National Institute of Statistics and Geography (INEGI) reported that the Mexican economy created almost 1 million jobs year to year in Dec. 2021.

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Solutions for Financial Inclusion

A growing number of Mexican fintech companies are seeking financial democratization, said Isaac Kohab, Co-Founder and COO, Klu. “For many years, Mexico has been among the list of countries with a high percentage of unbanked population, according to ABM data,” said Kohab.

Fintech Boom Continues

The adoption of fintech in Mexico has been accelerated by the pandemic and the industry is flourishing, said Juan Miguel Carrera, CEO, Revolut Mexico. Mexico had already developed an innovative regulatory framework and a recent venture capital boom has placed the country as the Top 22 destination with most access to venture capital per capita.

Speed-to-Market in Fintech

How speed is achieved in financial innovation may be more important than the technology itself because faster innovation cycles are necessary for businesses to stay competitive, said Jim McCarthy, President, I2C. The identification of adequate partners in later stages of a business’ evolution is also vital for future success, he added.

STP, Oplay to Improve Payment Experience

STP and Oplay announced a strategic alliance to reduce the financial gap in Mexico while promoting new and better means of payment for users. “Strategic alliances are key to achieving significant financial inclusion, an acute necessity in our country. At STP we understand the paradox in which millions of Mexicans are,” said Jaime Marquez, Director of Business Development, STP.

Mexico Must Enhance Digitalization

A major advancement in digitalization must take place for Mexico to continue its financial inclusion plans. The Mexican financial and banking markets need disruption and innovation to further improve the country’s industry, as fintech companies and startups continue to provide new services and better products.

Investments Allow New Opportunities for Mexicans

“GBM has been the largest broker in Mexico for the last 30 years, but we had focused on larger capital bases. Five years ago, we worked to eliminate every single barrier to investment and allow everyone to become an investor. We first built a digital app for everyone to start investing and allow everyone to become an investor,” said Javier de la Madrid, Head, GBM+.

Financing Complexities for Entrepreneurs

One of the most pronounced fears entrepreneurs face is seeking financing, said Marion Benitez, Director General, Cumplo. Indicators have shown that entrepreneurs looking for investment turn to banks first but most Mexican companies financed their operations from suppliers.

Mexico’s Economic Recovery

The Mexican economy recorded an important recovery from Dec. 2020 to Dec. 2021 with the creation of 994,506 jobs in that period, reported INEGI. The film, video and sound industry grew 24.4 percent, as the agricultural and forestry industry grew 14.4 percent.