PERU
On November 11, the National Institute for the Defense of Competition and Protection of Intellectual Property (INDECOPI in Spanish), published a study on the role of the entity and the main challenges of the Fintech Industry in Peru. The text compiles experience in terms of regulation of fintech companies in Latin American countries and establishes recommendations to develop a safe regulatory space for them at the national level. In addition, the text proposes the creation of spaces for dialogue between traditional banking entities and the financial industry to promote their insertion in the financial market.
The INDECOPI study indicates that Fintech ventures in Peru can contribute to greater financial inclusion of the population. Given the context of health emergency produced by COVID-19, the entity indicates that social distancing measures prompted the creation of new lines of action to accelerate digital financial inclusion, while developing spaces for online operations with the necessary infrastructure to provide a safe space for financial customers.
Likewise, among its recommendations, the study points out that in terms of consumer protection, it is convenient to promote a space of trust between agents of the Fintech industry, together with a process of evaluation of the current Peruvian regulations on consumer protection, in order to verify if they include provisions to protect financial users of the services promoted by financial institutions. At the same time, it highlights that it is necessary to promote campaigns to encourage the responsible use and access to digital financial media that advertise Fintech products.
The text also mentions that it is necessary to create spaces for dialogue between different actors in the financial industry, including Fintech companies and traditional banking agents. These actions will allow the identification of barriers to the entry of Fintech institutions in the market and a more accurate assessment of the considerations of traditional banking with respect to the regulation applicable to these new competitors.