Mexico could benefit from fintech regulation

Author: John Crabb | Published: 23 May 2017

When passed, Mexico’s disputed fintech regulation must be tough enough to ensure the sector continues to show continued growth. Strong regulation could allow for the country to become a hub for fintech across Latin America, and will prevent new tech startups and innovators from being financially throttled, according to sources.

The Comisión Nacional Bancaria y de Valores, a Mexican independent agency with authority over the Mexican financial system, introduced a first draft of Ley Fintech in March. The proposed rules were given to a select group of industry decision makers for comment. The stated purpose of the law is to provide market certainty with respect to the services that would be provided by fintech companies, and help encourage new players in the sector by allowing access to a functioning regulatory framework.

Recent figures released by the Mexican Secretariat of Finance and Public Credit suggest that there are currently more...