The success story of fintechs in Latin America is entering a new phase. After five years of explosive growth, the ecosystem has expanded by over 340% in the last six years, according to the Inter-American Development Bank — a new factor may now level the playing field and drive not only more growth but also more opportunities for startups. AI agents are transforming the way financial services startups connect with customers, expand inclusion, and reduce costs. These agents offer startups the chance to scale faster and smarter than their predecessors. See how they are redesigning the future of the fintech sector in Latin America.
Enhancing customer engagement through AI agents
AI agents are revolutionizing customer interactions in financial startups by taking on the front line of 24/7 support, as well as handling more complex tasks such as financial advising. According to Finextra, financial institutions that use personalized agents saw a 30% improvement in customer satisfaction and a 20% increase in conversion rates.
Some of the biggest players in the region are already reaping the benefits. MercadoLivre, for example, integrated AI and machine learning to offer personalized financial services — a move that helped raise its market value to over 100 billion dollars, according to Reuters.
Now, with the rise of cloud computing in Latin America (growing at an annual compound rate of 15%) and the decrease in processing costs, what was once the privilege of tech giants is becoming accessible to a new generation of startups. This change in the offering is enabling growing companies to build AI solutions internally or adopt the AI as a Service (AIaaS) model to optimize their operations. Recently, a major Mexican retailer used IAaaS to digitize its consumer credit approval process—reducing the waiting time from a week to just 15 to 20 minutes, significantly improving the customer experience.
Advancing financial inclusion
With the growth of the fintech ecosystem in Latin America, financial inclusion has also advanced — albeit unevenly and limitedly. According to a 2023 Mastercard study, 21% of Latin Americans remain outside the formal financial system. And, although 79% have a debit card and/or bank account, only three out of ten have access to more advanced services such as credit, loans, and insurance.
AI agents are becoming an essential tool to accelerate progress in financial inclusion, enabling fintech startups to play a central role in this expansion. The World Economic Forum states that the use of AI agents can trigger a "technological leap through AI" effect in developing economies such as Latin America, enabling financial services to reach underserved populations directly, without relying on traditional infrastructure.
The CGAP reports that AI agents contribute to inclusion by processing complex transactions and operations while keeping customer interactions simple. For example, while an AI agent can analyze diverse data sets to create personalized financial products, it can communicate all transaction steps via WhatsApp, understand customer voice commands, or offer simplified decision flows — which facilitates inclusion even in rural areas with low literacy.
Furthermore, by intelligently processing more diverse datasets, AI agents are also able to calculate fairer loan costs and increase approval rates for people with little or no financial history. A Brazilian financial services company that used AI to analyze alternative credit data for underbanked clients achieved a 25% increase in credit approvals, while maintaining low default rates.
Optimizing operations and reducing costs
The benefits of AI agents are not limited to customer experience and financial inclusion — startups seeking to keep their operating costs low are also finding efficiency. Galileo fintech reported that its AI agent reduced back-office calls by 70%.
At Gupshup, it is observed that financial institutions that implemented AI agents experienced a 40% to 50% reduction in operational costs related to customer service and loan processing. These efficiency gains come from automation in document handling, reducing manual intervention in routine tasks, and optimized workflow management.
Faced with these three factors—enhanced customer engagement, expanded inclusion, and cost reduction—AI agents are becoming an essential tool for the next generation of financial services startups. Moreover: several venture capital funds in Latin America are already preparing to increase investments in startups offering credit products and artificial intelligence. This means that fintechs adopting AI agents will become even more attractive investment options.
In short, AI agents are not just the future of financial services in Latin America — they are already the smartest bet of the present.
