Fynsa
After the pandemic and the slowdown in 2023, the Peruvian financial system shows a moderate reactivation of credit, with uneven growth among segments. Banks adopted conservative policies that strengthened their solvency, and in 2025 there are signs of increased demand in some sectors, while others are still stabilizing.
The reactivation of credit has been led by the lower-risk business segments, while households and MSEs are advancing cautiously. The improvement in portfolio quality and lower delinquency rates have allowed banks to cautiously resume lending to consumers and entrepreneurs.
Consumer credit in Peru experienced a sharp slowdown in 2022-2023, reflecting adverse macroeconomic shocks that affected households' ability to pay. Faced with the increase in delinquency, financial institutions tightened their origination criteria: they reduced credit card and personal loan lines, and reinforced collection in higher risk products. This resulted in an annual contraction of -0.8% in the consumer portfolio as of March 2025, a fall concentrated in credit cards (-5.2% annually), while more secure products such as agreement loans (with payroll discount) were less affected.
By the end of 2024 and early 2025, consumer credit was showing signs of recovery. With the improvement in employment and lower inflation, banks have reduced provisions and reactivated lending to customers with good credit histories. Demand is starting to pick up and household indebtedness remains under control, which opens the way for sustainable growth in this segment.
The micro, small and medium-sized enterprise (MSME) segment has been one of the hardest hit, with a -2.7% year-on-year contraction in credit as of the first quarter of 2025. The economic uncertainty of 2023 increased the perceived risk in these businesses, leading financial institutions to tighten conditions and reduce new loans to MSEs. Many ventures faced difficulties in accessing working capital, which slowed their recovery.
To boost MSME credit, the government launched the Impulso MYPERU program, which granted guarantees for up to S/ 15 billion (close to US$ 4.2 billion) at the end of 2024. More than 244 thousand MSMEs accessed backed financing, representing 10.2% of the MSME portfolio as of March 2025. This program was key to moderating the credit contraction and promoting financial inclusion.
After the end of state support in 2024, private banks have cautiously resumed financing MSEs. With better portfolios and more efficient processes, a gradual recovery is expected, driven by digitalization and economic recovery. Although challenges such as informality persist, MSEs will once again have access to credit to invest and grow.
The digital transformation of banking has been key in the reactivation of credit, especially in consumer and MSEs. By digitizing processes, institutions reduce costs and can grant small loans in a profitable way. According to the BCRP (Central Reserve Bank of Peru), digital channels are essential to serve low-income customers, previously excluded from the financial system.
The adoption of digital banking has been massive: more than 70% of banking operations are already carried out through digital channels, according to Asbanc. Between 2019 and 2024, loans granted via apps and web went from 302 thousand to more than 5.1 million, while the average amount dropped from S/12 thousand to S/3 thousand (from approximately US$ 3,300 to US$ 850). This expansion has facilitated access to microcredits, boosting financial inclusion.
Yape, the Banco de Crédito del Perú (BCP) wallet, has become a key platform for payments and consumer credit, with more than 14 million users by 2024. It offers microloans from S/50 to S/10,000 (from US$15 to US$2,800), approved in minutes through algorithms that evaluate the user without face-to-face procedures. This facility has broadened access to credit, especially among young people and entrepreneurs.
Digital banking is driving the reactivation of credit on two fronts: efficiency and inclusion. The use of apps, AI and big data makes it possible to grant low-cost, low-cost loans, especially for consumer and MSEs. At the same time, digital platforms are expanding access to credit in underserved areas, with financial institutions and fintechs reaching more entrepreneurs. Peru is positioned as one of the countries with the highest penetration of digital banking in the region.
Armando Herrera
General Manager Fynsa Peru
