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As agriculture across Latin America faces rising pressures, access to finance remains one of the most persistent barriers for smallholder farmers. Traditionally underserved by banks and often excluded from formal credit systems, small producers are now finding new pathways through fintech innovation, data-driven lending, and collaborative public-private initiatives.

Mexico and Central America are emerging as a testing ground for these models, with fintechs, investors, and development banks working together to lower risk, accelerate access to credit, and build bridges to more profitable markets.

Ahead of the World Agri-Tech Innovation Summit in Mexico City (October 28th – 29th), regional leaders are sharing how digital tools and inclusive finance are unlocking opportunities for the farmers who form the backbone of the agri-food system.

Speed, simplicity, and smarter data:

For Hugo Garduño, CEO of Verqor, the single most important driver of adoption is speed.

“Farmers can’t wait 30 or 60 days for a bank to decide. We approve in less than 72 hours, making us the fastest option in the market,” he explains.

Just as important is ease of use. Verqor has digitized the entire credit journey: farmers upload documents, track applications, and receive responses via phone, with WhatsApp serving as the central communication channel. Repayments are aligned with crop cycles rather than rigid monthly schedules, reducing financial stress and improving repayment reliability.

Meanwhile, advanced credit-scoring algorithms integrate satellite imagery, geolocation, crop cycles, and buyer contracts to evaluate farmers on their real capacity rather than just bureau scores. “Our model opens the door to farmers who would otherwise be excluded from formal credit, making access both safer and more inclusive,” Garduño adds.

De-risking through innovation:

For Alan Elizondo, General Director at FIRA, reducing risk is central to expanding smallholder access.

“Credit and guarantee products are essential in enabling smallholders to access finance, alongside risk-mitigation mechanisms such as crop insurance, price hedging, and participation of value-chain players through contract farming schemes,” he says. 

Sustainability incentives are also gaining traction. “Lower interest rates for adopting eco-friendly technologies, or green and social bonds targeting smallholder finance, have proven successful in mobilizing resources,” Elizondo explains. These tools both reduce the cost of credit and encourage adoption of productivity-enhancing technologies.

Digital tools complement this de-risking approach. Farmers across the region are turning to satellite imagery, low-cost soil moisture sensors, and digital advisory platforms to increase productivity and manage risks without prohibitive costs.

From capital to markets:

Both Garduño and Elizondo agree: finance alone is not enough. What truly improves farmer profitability is market access.

“At Verqor, we connect producers directly with exporters and retailers who need reliable suppliers,” says Garduño. “That way, farmers not only get credit, they also secure stable sales and better prices.”

Elizondo points to the role of public programs in building the infrastructure to scale these opportunities. “Collaborative digital marketplaces, open-data platforms, and logistic hubs supported by public financing can lower transaction costs and improve visibility for small farmers,” he notes.

Building the collaboration:

The next step is aligning fintechs, banks, and governments into a true ecosystem.

“Collaboration needs to start with public institutions expanding guarantee programs and investing in digital infrastructure,” says Garduño. “Fintechs like us bring the agility to execute, while banks can provide the capital.”

Elizondo reinforces the need for a systemic alignment. “Successful collaboration means co-creating solutions where fintechs push innovation, banks provide scale, and public programs foster the enabling environment,” he explains. “Together, these actors can set open-data standards, reduce risk, and strengthen smallholder farming at scale.”

Financing the future of food security:

Smallholder farmers produce a significant share of Mexico and Central America’s food supply, yet their potential has long been constrained by lack of access to capital and markets. What’s emerging now is not just incremental change, but a structural shift toward faster, smarter, and more inclusive finance.

With fintechs leading innovation, public programs creating supportive frameworks, and banks ready to scale proven models, the region is positioning itself as a leader in smallholder finance, a transformation with implications far beyond its borders.

Join agri-tech innovators, investors, and policymakers at the World Agri-Tech Innovation Summit Mexico, October 28-29 in Mexico City, where the future of smallholder finance and food security will take center stage.