Following this announcement, the Latin-American MercadoLibre is expected to utilise the investment in order to expand its fintech arm's credit profile for customers and partners in the region of Mexico.

In addition, the company will continue to meet the needs, preferences, and demands of clients and users in an ever-evolving market, while also prioritising the process of remaining compliant with the regulatory requirements and laws of the local industry.

MercadoLibre represents a company that operates online marketplaces dedicated to ecommerce and online auctions, functioning under five main business units.

According to officials from the company, the financing deal from JP Morgan is expected to strengthen its commitment to Mexican small and medium-sized businesses and enterprises (SMBs, SMEs), which will further allow MercadoLibre to reinvest and finance more firms and individuals in the following years.

At the same time, MercadoLibre is set to focus on improving the overall financial life of customers in the country, as well as accelerating the market's development and financial inclusion. In the past year, the fintech also saw the adoption of its mobile credit card readers more than double, a product that competed with traditional banks and other digital payment platforms.

In addition, Mercado Pago, the firm's secure payment system, is also currently seeking a banking licence in the region of Mexico. This initiative is expected to enable the financial institution to provide its expertise and suite of services (such as savings accounts and checking accounts, commercial loans, or mortgages) for customers and businesses in the country as well.