Revolut Buys Small Argentine Bank as Country Opens Up to New Financial Players

Revolut, Europe’s biggest digital bank, is buying Banco Cetelem, one of Argentina’s smallest banks. Cetelem has only $6.4 million in assets, but this deal gives Revolut a full banking license in Argentina.

This is Revolut’s first step into South America. Argentina’s government, led by President Javier Milei, has recently made big changes to the economy.

These changes include removing some currency controls and making it easier for foreign companies to enter the financial sector. Because of these reforms, more people and businesses are borrowing money, and banks are seeing more profits.

Revolut is entering a market where only about 40% of adults have a traditional bank account. However, many Argentinians already use digital wallets and payment apps for daily transactions.

Local companies like MercadoLibre and Ualá are strong competitors, but Revolut hopes its global experience and technology will attract new customers. By buying Cetelem, Revolut can immediately offer savings, loans, and investment products in Argentina.

The company has already started the process to get approval from Argentina’s central bank and has hired a local director to lead its operations. Experts say Argentina’s private sector credit could grow by up to 50% this year.

This growth comes after years of economic problems, and now both local and foreign companies want to expand in the country. Revolut serves 60 million customers worldwide and is valued at $45 billion.

The company believes that by offering easy-to-use digital banking, it can help more Argentinians access financial services, especially those who do not use traditional banks.

This move shows how Argentina is changing. As the government opens the financial sector, international companies like Revolut see new opportunities. For Argentinians, this could mean better banking options, lower fees, and more ways to manage their money.

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