Mexico consolidated its position as Latin America’s second-largest venture capital market in 2025, as regional investment shifted toward more structured financing and sectors tied to financial infrastructure. According to data from Eko Ventures, Scenius LATAM, LAVCA and Cuantico VP, venture capital activity across Latin America in 2025 reflected a reallocation of capital rather than a contraction. Investors increasingly favored companies with recurring revenues, risk controls, and scalable operating models, deploying capital through a mix of equity, debt, credit lines, and structured financing instead of growth-at-all-costs strategies.
“What we saw in 2025 was a market operating with a much more institutional logic,” says Carlos Cardini, Partner, Eko Ventures. “Capital stopped rewarding rapid growth and began to focus on stronger financial structures and models designed to scale over the long term.”
Breakdown by Country
Brazil remained the region’s largest venture capital market by total annual volume, attracting over US$2.2 billion in 2025. Investment was driven mainly by growth and late-stage rounds, reflecting Brazil’s depth of institutional capital and mature funding ecosystem.
Mexico ranked second, with about US$1.8 billion raised during the year. The country stood out for its combination of mega-rounds, structured financing, and credit facilities, particularly in fintech and healthtech. For the first time since 2012, Mexico surpassed Brazil in capital raised during the second quarter of 2025, marking a shift in regional momentum.
Colombia placed third, with over US$700 million in venture capital investment. While average ticket sizes were smaller, activity remained strong at the seed and Series A stages, alongside structured debt deals, especially in B2B financial platforms.
Other markets also showed more targeted activity. Chile maintained momentum in fintech and B2B software, including a US$50 million Series B round by HR platform Buk and several structured financing deals in financial services. Peru recorded long-term investments in digital infrastructure, such as a US$15 million credit facility for MiFibra to expand fiber-optic networks beyond Lima. In Central America, startups with regional ambitions began to attract capital, particularly in logistics and e-commerce, with companies such as Boxful raising funds to scale cross-border operations from countries including El Salvador and Honduras.
Fintech Leads Investment
Fintech remained the largest recipient of venture capital in Latin America in 2025, attracting an estimated US$2.8 billion. The sector moved away from aggressive expansion strategies and focused instead on profitability, regulatory compliance, and risk management, positioning itself as core financial infrastructure for the region.
Mexico emerged as the most developed market for scaling fintech companies. Regulatory licenses, strategic partnerships, and access to international capital allowed several startups to transition from experimental models to long-term financial institutions operating with a regional scope.
Healthtech ranked as the second most active vertical, with rounds reaching up to US$400 million. Investment focused on companies combining healthcare delivery with financing solutions, often using hybrid structures that blended equity and debt at relatively early stages.
AI and climate technology also gained significant ground. AI-first and AI-enabled startups raised about US$300 million, largely targeting operational efficiency and B2B solutions. A similar amount flowed into energy and climate-related ventures, supported by longer-term capital tied to infrastructure projects, including renewable energy and solar initiatives.
Structural Consolidation in Mexico
Mexico’s venture capital activity in 2025 underscored a broader structural consolidation rather than a market slowdown. Several large transactions highlighted this shift, including Plata’s US$250 million Series B round, Klar’s US$190 million Series C round and the consolidation of Kapital as an AI-first unicorn focused on financial services.
The second quarter saw US$437 million raised, allowing Mexico to outpace Brazil for the first time in more than a decade. This performance was supported not only by traditional equity rounds but also by increased use of structured debt, regulatory licensing strategies, strategic partnerships, and growing participation from international investors.
“From a capital perspective, Mexico offers something that is increasingly scarce globally,” says Alejandro Cardini, Partner, Eko Ventures. “Startups with healthy unit economics, shorter customer payback periods than in developed markets and a real opportunity to build financial infrastructure for millions of underserved people and businesses.”
