Financial inclusion is growing worldwide, but it still faces many challenges in Latin America. According to World Bank data, 10 years ago, 51% of adults had a financial account, and in 2021, this number increased to 76%. We take on the role of further empowering this transformation. As leaders in the fintech sector in the region, through Mercado Pago we have committed to promoting financial inclusion in all the countries where we operate, in order to help reduce this gap. This means creating the conditions to empower as many people as possible, encouraging them to take control of their financial lives.

Although the expansion of digital wallets is driving inclusion, there are still many education challenges ahead. We know that there is no true inclusion without education, not only because it facilitates the actual use of financial products, but also because it empowers individuals to make informed decisions about their own finances or businesses and, and more broadly, to exercise their rights and responsibilities as citizens.

One of the premises of our business model is to use technology to overcome the barriers that hinder financial inclusion of either entrepreneurs or consumers in the countries where we operate. Based on the principle that digital transformation involves simplification, we have developed financial products and payment solutions for people who do not have a bank account because they do not meet the traditional banking system’s requirements.

We have been doing this through Mercado Pago, which offers digital accounts and payment methods that make it easier to access basic financial transactions, as well as investment and credit solutions. This allows more people and businesses to manage their finances and operate in the formal economy, making them more resilient to the ups and downs of the economy and improving their quality of life.

In 2023, our cryptocurrency trading services were extended to Mexico, Brazil, and Chile. We introduced the option for users of virtual wallets in Mexico to access credit cards. We achieved a milestone by surpassing 9,73 million life and personal accident insurance policies, addressing the needs of individuals who were previously underserved in this regard.

To assist our users in closely monitoring their finances and making well-informed decisions, we invested in a new tool allowing them to review their personal expenses flow, assess their spending patterns, and identify opportunities for saving or investment. This tool has garnered over 4.5 million users across Argentina, Mexico, and Brazil. Additionally, we launched a feature encouraging saving habits, enabling users to set aside money from their accounts for saving and earning investment interest, with the flexibility of withdrawing funds at any time and at no cost.

Mercado Crédito is a line of credit offered by our fintech Mercado Pago, developed especially to simplify access and eliminate bureaucracy for those who want to pay in installments for purchases and services or apply for a personal loan. These are easy-to-access and secure loans, with tech solutions and credit scoring systems based on artificial intelligence.

With easy-to-use and accessible tools at their fingertips, many of our new users find themselves with the opportunity to advance financially for the first time and recognize the need to learn more about money management. In light of this, we've invested in initiatives that promote good practices in financial and social education, particularly for women entrepreneurs and youth. Our programs aim to enhance users' understanding of financial products and concepts, enabling them to develop the skills and confidence necessary to be more aware of financial risks and opportunities.

We also have websites with special content on financial education for our users in Brazil, Argentina, and Mexico.

Financial education initiatives for women microentrepreneurs in 6 Latin American countries. Developed by Mercado Pago in partnership with the organizations Pro Mujer (Hispanic America) and Aliança Empreendedora and Barkus (Brazil), the program aims to equip women with the leadership and management skills necessary to manage their finances and sales.

In collaboration with Junior Achievement, the initiative provides basic financial education to young students from public schools in the region. The program focuses on basic planning concepts and provides financial tools to manage personal finances.

The financial education collective Nofront has created a free online course to address doubts of those who want to start an entrepreneurial activity. The course, designed by Gabriela Chaves, an economist and founder of the financial empowerment collective, covers topics such as distance and in-person sales and delivery.

Jointly with Nubank, Google, and other innovative businesses in Brazil, we established Zetta, an association focused on discussing the digitalization of the economy, and promoting the digital and financial inclusion of thousands of Brazilians who do not have access to traditional financial institutions.