Financial innovation is concerned with the creation of new financial services or products and the development of solutions that improve the existing financial services or products. The application of IT and communication technologies bolsters financial innovation by easing processes, reducing costs, and reaching out new users. Thus, digitalization is changing the financial system. Today, you may make non-cash payments from your electronic wallet, open a bank account online by using face recognition biometric technology, and even apply for a loan from your mobile phone, among other things.
In this regard, the Central Bank focuses on the following three aspects:
We analyze other central banks’ approaches, as well as recommendations and best practices of other international regulatory and supervisory organizations before applying them to our context.
Thus, we took measures to:
These measures are provided for information purposes only. More information available at communication search engine by selecting the “type” of communication: A (ongoing regulation), B (regulatory, temporary, or circumstantial regulation) or C (reporting or rectifying regulation).
2) Financial Innovation Work Team
This work team—having private and public cooperation—is made up of Central Bank experts, Fintech companies, banks, entrepreneurs, and public and private institutions. Its purpose is to develop tools and solutions aimed at achieving greater financial inclusion and an efficient financial system in regular meetings based on these axis:
3) Financial Innovation Program (PIF)
The PIF is an annual initiative which invites entrepreneurs, students and professionals from different areas of the financial field to generate projects in order to face the current challenges: digitalization, electronic payments, bank inclusion, alternative scoring, usability, sustainability, data, consumer protection, financial inclusion, financing opportunities and inflation targets, among others.
The four editions of the PIF aimed at promoting financial inclusion with ideas and projects that foster cooperative work between the public and private sectors, which resulted in the development of 267 projects, 40 selected teams and 12 winners.
For more information on the winning projects of each edition, visit:
1 The term FinTech refers to technological innovations in financial services that could lead to new business models, applications, processes, or products with an impact on financial markets, financial institutions and the provision of financial services, Financial Stability Board