Caixa, a payment technology provider, has partnered with Fiserv, a payments processing fintech to bring Caixa branded point of sale(POS) machines to merchants in Brazil.
These terminals would be available at the Caixa branches and they can be used by the merchants to accept card payments along with QR codes that can be generated through the Caixa app. These 2 companies had already completed the testing of the payments flow about a month back and it is only in this month, that the services have been launched in Brazil.
“The national expansion of our partnership with Caixa underscores the important role Brazil can play in driving the adoption of digital payments in the Latin America region,” said Gustavo Marin, head of Latin America at Fiserv. “Digital payments can bring significant benefits of efficiency, security, and ease-of-use to businesses and consumers, and making these benefits available through the expansive Caixa customer base has the potential to transform how people pay in Brazil.”
This is seen as the first foray of Fiserv into the Latin American region, a region that is expected to witness good growth in the digital and payments space in the coming years as many parts of the region continue to be underserved concerning this industry. Latin America and Africa are expected to be the next frontiers of this industry which is also being eyed by major companies and investors to boost their growth in the coming years as regions like Europe and Asia begin to show signs of stagnation due to saturation.
Fiserv has also been very busy over the last couple of years as it expands and overhauls its operations with the acquisition of Merchant Pro last year and the company believes that this deal with Caixa would provide it with a gateway into the Latin American region not only for card processing but also for online payment gateways in the future.
The demand for digital payments and other services has been growing in Brazil and the rest of the Latin American region and Fiserv, with its recent partnerships, seems to be well placed to take full toll of this demand for digitalization globally and in Latin America, specifically. The other major payment companies have also started looking into this region seriously and it would be interesting to see the growing competition in the coming months as the companies jostle for space.