The Role of Fintech in Driving Financial Inclusion in South America

Abstract

Fintech innovations have transformed financial services in South America, enabling greater financial inclusion for underserved populations. This paper explores how mobile banking, digital lending, and blockchain technology are reshaping banking accessibility in Chile and Colombia. Using case studies from leading fintech startups, the research assesses the impact of digital finance on economic empowerment and poverty reduction. Findings indicate that while fintech enhances access to banking, challenges such as regulatory hurdles, cybersecurity risks, and digital literacy gaps need to be addressed. The study provides policy recommendations for governments and financial institutions to support fintech-driven financial inclusion.