Banorte, Santander, Afirme and Hey outline their digital banks in the country

Although their participation is still less in the Mexican financial system, fintech and so-called neobanks –which are not banks– are gaining ground in some segments.

In response to this, traditional banks have been making significant investments in technology and some have even announced that they will have their own independent digital banks.

This is the case of Banorte, which will be the first of the traditional ones to have its own digital bank with its own license, which they have called Bineo.

It was in 2022 when it was reported that the National Banking and Securities Commission (CNBV) had granted authorization to Banorte to operate its 100% digital bank, and according to executives of the financial institution, it will be in the first quarter of 2023 when start operations.

“We intend to be ready in the first quarter. Obviously it depends on our times and those of the authority (…) it is a process that we will guide (…) surely we will be ready in the first quarter,” Francisco Martha, Banorte’s general director of digital business, considered in October.

Another of the large traditional banks that is in this same line is Santander, which has already filed its application with the CNBV to start here with Openbank, its digital bank that already operates in other markets such as Spain, Germany and Argentina.

Felipe García, director of the bank, trusted that shortly when they obtain the license from the authority, and that it will be fully operating towards the end of 2023 or the beginning of 2024.

Hey Banco –Banregio’s digital arm– is another that has already filed its own license application with the CNBV, so there is confidence that it will also be shortly when the authority will give it the corresponding guarantee to be able to operate.

However, Hey Banco today already offers different financial products and services –hand in hand with Banregio–, all digitally, and has recorded significant growth.

Afirme Grupo Financiero is the one that has most recently announced the launch of its digital bank with experience in the Metaverse called Billú.

This, unlike the other three, has done so without applying for its own license, but supported by the financial group that already has two banking licenses.

It will be at the beginning of 2023, according to what José María Sobrevía, the group’s digital and commercial corporate director, told El Economista, when its operation begins to become widespread, and it is expected to add 250,000 users that year.

Neobanks

These and other actions are the responses of traditional banks to compete against fintech.

The most recent Banxico Financial Stability Report highlights that although the Financial Technology Institutions sector is growing, it still remains at relatively low levels compared to banking.

Thus, the so-called neobanks or digital banking are registering remarkable growth globally.

eduardo.juarez@eleconomista.mx