Latin America Looks to Fintech to Beat Inflation
They’re pinching their pesos. Frustrated with soaring inflation and a financial system that excludes 49 percent of the population, Latin Americans are turning to fintech firms to manage their money. Some 700 startups have cropped up in recent years, offering loans and venture capital that skirt typically high rates of inflation — from 8.7 percent in Brazil last year to 627 percent in Venezuela — and claim to be more equitable than traditional banks. While financial innovation has a rocky history, many see it as a way to fight the system.