Why Colombia’s Fintech Sector Is Poised for Record Growth in 2025

Although 2025 appears to many to be a year in which caution must prevail and economic alerts will be the order of the day, in certain industries they are playing more for an optimistic view of things, in which, even, levels never seen before could be reached if the right decisions are made. That is the case of Colombia’s fintech ecosystem, which is set to start off strong in 2025.

Its economic indicators, according to analysts’ projections, predict that it will achieve historic returns this year, both in terms of investments and economic returns for those who move in this world.

In figures, Colombia currently has 394 emerging financial technology companies, 25 more than at the beginning of 2024, registering an increase of 6.8%. Likewise, it is estimated that, by the end of 2025, according to information from Finnovista Fintech Colombia, 54% of these business units will generate revenues between US$5 million and US$15 million, which translates into 20% more than the previous period.

Meanwhile, the firm Pitchbook reports that during 2024, resources for more than US$2.6 billion were injected into this industry, which reaffirms the good investment dynamics that characterizes the sector. Thanks to this, this ecosystem was able to be strengthened with the signing of 174 agreements, improving by 73% the records of 2023, when resources for more than US$1.5 billion were achieved, thanks to the materialization of 241 agreements.

Colombia’s fintech sector seen as a mature market

On the other hand, Simón Pinilla, co-founder of Druo, analyzes that the aforementioned figures make it clear that not only is the maturity of a sector that has become the greatest driver of the digital transformation of the financial system confirmed, but they also validate the good moment that most emerging financial companies in Colombia and the region are going through.

“An example is us at Druo, a Fintech that in 2022 created a disruptive payment method that today allows companies and businesses to accept national and international recurring payments directly from their customers’ bank accounts, without the need to use cards, reducing collection costs by up to 50% and offering a better experience to its users, especially regarding payment scheduling,” he said.

Taking the company he helped found as a reference, Pinilla highlights that in 2024 they tripled the volume of processed transactions, reaching more than 104 million dollars in operations and increasing their income by 170% compared to the previous year.

“We project to close the year processing more than 300 million dollars, results that will be leveraged by a growth strategy in the markets in which we currently have a presence, including Colombia, the United States, Peru and Mexico, and in the launch of new countries,” he concluded.

A growing market

According to recent figures from Colombia Fintech, Colombia is facing a scenario of growth opportunities if we take into account that access to financial products by the Colombian adult population has been increasing over the last five years.

“According to the third survey of the Demand Survey (2022), 65.3% reported having at least one deposit or credit product, while in the second survey (2017) this figure was 51.6%,” they reported.

However, for experts such as Ricardo Anhesini, leading partner of financial services at KPMG, the future of fintech belongs to those organizations that are able to use the data obtained to improve decision-making and adapt to an increasingly changing and challenging environment.

“A growing number of applications serve as gateways to services, opening the financial market to non-traditional competitors. This change is a potential threat to the dominance of banks over other financial services companies. This new paradigm creates a greater demand for data protection and privacy,” said the analyst.

That said, he closed by warning that fintechs are forced to deal with accelerated development while working to maintain solid cybersecurity and that to achieve this, they must increasingly rely on data and acquire competitive knowledge and operational efficiency to establish strategic partnerships.

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(Featured image by juan rojas via Pexels)

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First published in Portafolio. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

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