Latin American Fintech Shifts to Profitability as Panama Non‑Bank Credit Expands

Fintech firms across Latin America are moving from a disruption‑focused era to one centered on profitability and trust. After banking penetration rose from 54% in 2017 to 73% in 2021, the sector now emphasizes “Trust as a Service” and AI‑assisted financial advice. More than 60% of users are open to AI assistants, though 85% still demand human contact for critical security issues. Roger Darashah, co‑founder of LatAm Intersect, said the future advantage will lie in credibility and transparent algorithmic practices rather than speed of innovation.

In Panama, non‑bank financial entities reported a credit portfolio exceeding $4.596 billion at the end of June 2026, serving about 2.17 million customers. The portfolio grew roughly 1% year‑on‑year, with personal loans accounting for over 60% of the total. Cooperatives posted a 3% portfolio increase and a low 7.1% delinquency rate. In May 2026, these entities originated 33,938 new loans, including 16,343 personal loans from financial firms and 4,324 personal loans from cooperatives.