MercadoLibre's fintech unit to apply for banking license in Argentina (updated)

MercadoLibre

28/05/2025 21:28

Adds context of Mercado Pago in paragraph 3, quote from executive in paragraph 4 and background on Argentina importance for MercadoLibre in paragraph 5

SAO PAULO, May 28 (Reuters) - Latin American e-commerce giant MercadoLibre MELI.O said on Wednesday its fintech unit Mercado Pago will apply for a banking license in Argentina.

In a statement, Mercado Pago said the move is aimed at expanding services, investment tools and credit lines, noting it was also part of a regional strategy already underway in other key markets such as Brazil and Mexico.

MercadoLibre, Latin America's most valuable firm by market capitalization, receives nearly 45% of its total revenue and income from Mercado Pago, which operates as digital lender and a payments acquirer.

"Applying for this new license is a natural step to offer more products and continue improving the user experience," said Alejandro Melhem, Mercado Pago's senior vice president for Hispanic Latin America, in a statement.

Argentina has
retaken its position
 as MercadoLibre's No. 2 market by revenues in the first quarter of the year, behind top dog Brazil.

 (Reporting by Andre Romani; editing by Gabriel Araujo and Kylie Madry)

 ((Andre.Romani@thomsonreuters.com; 11 991314109;11 56447500;))