How FinTech Can Help Latin America to Deal with Economic Challenges and the COVID-19 Crisis

COVID-19 has hit Latin America particularly hard. Prior structural problems—low productivity and a large informal sector—has generated a deep economic crisis. Based on a general description of the region’s FinTech sector, we identify ways how FinTechs can help the workers, entrepreneurs and the economies as a whole to deal with the aftermath of the crisis. Through collaboration with FinTechs, LatAm’s governments could incentivise digitalization, skill upgrading and formalization, and thus address some of the most profound structural problems. The paper concludes with suggestions for avenues for further research.