Galileo Financial Technologies and Mastercard Strengthen Alliance in Latin America & Caribbean
Galileo Financial Technologies, a subsidiary of SoFi Technologies, Inc. (NASDAQ: SOFI), and Mastercard today announced the formation of a multi-year strategic partnership to accelerate digital transformation and improve access to financial opportunities for the underserved in Latin America and Caribbean.
Innovators across Latin American markets are developing solutions that address unfulfilled consumer needs, but many currently encounter friction in the process. Galileo and Mastercard are enabling Latin American fintechs and issuers to build and launch digital financial services using their combined capabilities and infrastructure. The companies will distribute several Mastercard products and services to help their fintech customers.
As part of the expanded partnership, Galileo becomes a preferred technology partner and express issuer processor within the Mastercard Partner Network, Mastercard Engage, in Latin America and the Caribbean. The combination of Mastercard’s developer-first approach with Galileo’s scalable platform and both companies’ robust suite of APIs enables issuers, banks, ecommerce providers and fintech builders to build and launch innovative solutions across the region at a fast pace.
Latin America is, and will continue to be, one of the most dynamic regions for financial innovation from fintechs and traditional players alike. Internet and smartphone penetration in the region was at nearly 70 percent as of the start of 2021 and growing, according to GSMA.
“Financial inclusion, at its core, rests on digital inclusion. With high levels of digital adoption, Latin American consumers are largely prepared to adopt solutions that reduce their dependence on cash,” says Tory Jackson, Head of Business Development and Strategy, Latin America for Galileo. “Our partnership with Mastercard reinforces our strategic commitment to deliver innovative, best-in-class digital financial services and modernize payment solutions for consumers in Latin America.”
With more than 20 years of experience, Galileo has reinvented the fintech ecosystem, supporting approximately 100 million end user accounts. Galileo serves clients that offer digital financial services, ranging from debit, credit and business-to-business (B2B) payments to remittances, buy now, pay later (BNPL), cryptocurrency and other emerging payments.
Small- and medium-sized enterprises (SMEs) are also critical to the evolution of the digital payment ecosystem in the Latin American region. Galileo and Mastercard will actively support the creation of viable alternatives for the modernization of payment services. Both companies, in collaboration, aim to foster the evolution of the digital ecosystem, by empowering SMEs of all types to achieve their digital transformation.
“Through the Mastercard Developers portfolio, Mastercard is helping more than 2,000 fintech innovators in the region achieve scale and the addition of Galileo as a preferred technology partner will help further expand access to financial services to more individuals,” said Thiago Dias, Vice President, Fintech & Enablers, Mastercard Latin America and the Caribbean. “Mastercard has exceeded the 100 million digital cards milestone stemming from its partnerships with 100 fintech companies across Latin America and the Caribbean.