Uruguay’s fintech dLocal was recently listed on the Nasdaq, with its stock price rising nearly 48% on the first day of trading and a company valuation close to 9 billion U.S. dollars, becoming the first unicorn in this South American country.
The success of dLocal has stimulated optimism in Uruguay’s fintech sector. Ximena Aleman, co-founder of the open banking platform Prometeo, told a local newspaper: “Uruguay has proven to be a technology center, especially in the fintech sector.”
Some players worth watching include Inswitch (e-money solutions, recently shifted to a cloud-based FaaS approach with 40% annual growth), Bankingly (digital channel platforms for financial institutions, 120% growth in 2020), MiFinanzas (SME financing, over $100 million provided to customers) and Prometeo (open banking, doubled turnover in 2020).
Prometeo achieved strong growth in 2020, tripling its headcount in the first half of 2021, and is planning to enter Brazil and Mexico by the end of 2021, having already established relationships with 44 financial institutions across nine regional markets.
The Uruguay market is one of the most developed markets in Latin America, benefiting from long-term political and economic stability, the lowest crime rate in the region, and a secure banking system that has earned it the nickname “Switzerland in South America.”
