The Mexico Payments Market size is expected to grow from USD 103.37 billion in 2023 to USD 167.85 billion by 2028, at a CAGR of 10.18% during the forecast period (2023-2028).
The payment market is growing as a result of increased digitalization. The growing popularity of smartphones and the widespread availability of internet connectivity are driving up demand for mobile payment transactions. Similarly, government measures encourage customers to use contactless payment platforms. Furthermore, the integration of technology such as artificial intelligence and machine learning is anticipated to improve the security system, increasing consumer trust in the payment system.
The Mexican payments market is moderately consolidated as few players currently dominate the payments market. Major players in the Mexican payments market offer well-developed digital payments solutions, adopting strategies like acquisitions and partnerships to expand their reach to more consumers in the region. Some of the major companies in the payments market include Visa Inc., Mastercard Inc., HSBC, and American Express.
In January 2023, Grupo Coppel, which controls Mexico's largest department store chain and the country's sixth-largest banking network, announced the debut of Coppel Access, a multifunctional financial application, in the United States. Coppel Access, the mobile wallet software, was created with the Mexican community in mind. Still, it also allows all consumers in the United States to simply open and maintain an account, which is insured by the Federal Deposit Insurance Corporation (FDIC), using either a Mexican or a US ID.
In September 2022, Inswitch, a FinTech technology firm focused on embedded solutions for banking and payments, and Mastercard International Incorporated collaborated to build and deploy digital payment solutions and issuing programs in selected Latin American nations. As a Mastercard primary member, Inswitch will begin issuing cards in Mexico, intending to quickly expand to important markets in LAC and other areas in the future.
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