Airwallex announced several milestones in its global expansion strategy: securing a payment institution license from the Banco Central do Brasil, and finalizing the acquisition of MexPago, a Mexico-based payment service provider and an Institution of Electronic Payment Funds (IFPE) license-holder.
With these two licenses secured, Airwallex will link its global financial infrastructure to Latin America’s two largest economies to enable support for companies in Brazil and Mexico and facilitate international businesses’ entry into the region.
“Our infrastructure strategy is to connect diverse and strategically significant markets around the world,” said Ravi Adusumilli, President, Americas at Airwallex. “With licenses in Brazil and Mexico, we can help companies in Latin America to expand and thrive across borders, while also helping businesses around the world to operate more seamlessly in these two dynamic economic markets.”
Unlocking Brazil’s B2B Payment Market
Brazilian consumers have been at the forefront of payment digitization - PIX, Brazil’s instant payment network, will account for an estimated 40 percent of online payments in Brazil by 2026. However, B2B payments in Brazil have lagged behind in digitization, particularly for cross-border transactions, which remains a painful process for Brazilian businesses.
To tap into Brazil’s B2B payment opportunity, Airwallex has obtained a payment institution license to offer services to Brazilian businesses, including local accounts, card issuing, and payment acquiring; as well as participation in the open banking ecosystem in Brazil. Airwallex plans to launch additional services for global customers in 2025, including access to a bank account in Brazilian Reais with a unique identification number, as well as payment and collection methods like PIX and Boleto.
Driving Cross-Border Opportunity in Mexico
Demand for digital financial tools is surging in Mexico, driven by the growing need for efficient cross-border payment solutions. An estimated 85 percent of SMEs in Mexico anticipate expanding their international business activities, while cross-border transactions already account for 22 percent of the country’s e-commerce activity. Mexico also stands out as the fastest-growing market for cross-border transactions in the region, with a CAGR of 44 percent. This growth is further fueled by Mexico’s increasing significance as a strategic trading partner to the U.S., recently overtaking China to become the top exporter of goods to the U.S. for the first time in two decades.
“Mexico plays a pivotal role in the global economy, serving as a key link between North and South America and a critical hub for cross-border payments,” said Luis Castillejos Ordaz, CEO and founder of MexPago. “We’re proud to join forces with Airwallex to enable seamless and secure cross-border transactions for businesses worldwide. MexPago’s domestic capabilities combined with Airwallex’s global reach will deliver even greater value to our shared customers. Together we will unlock borderless opportunities for businesses here in Latin America and around the world.”
Castillejos will take on a new role as Country Manager for Airwallex, Mexico where he will be responsible for managing operations, driving growth, and helping Airwallex’s existing and prospective customers navigate entry into Mexico.
The expansion into Brazil and Mexico adds to Airwallex’s existing licenses across major markets around the world, including Australia, the European single market, Canada, Malaysia, Hong Kong, New Zealand, Singapore, mainland China, the United Kingdom and the United States.