IDB Lab promotes digital and financial integration for the region’s unbanked in the post-COVID19 economy
IDB Lab, the Inter-American Development Bank innovation lab, will improve the ability of the unbanked consumers across Latin America and the Caribbean to access digital products and services through the financing of Pago46, an innovative cash-to-digital payments solution.
IDB Lab has recently approved a loan operation, potentially convertible into equity, under its COVID-19 Emergency Financing Line for Startups and Scaleups (LIFESS), to grant further working capital for the expansion and development of the company’s services in the region.
Based in Chile and the city of San Diego in the US, Pago46 is a regional startup that provides an on-demand, last-mile cash-to-digital solution resembling a “moving ATM machine”. Through a simple smartphone app, the company offers cash payment services for digital products and makes them accessible to last mile clients by way of its network of Pago46 collection agents.
This project is expected to create a twofold impact – Pago46 will not only allow the unbanked consumers to participate in cash transactions with minimized contact, but will also create an additional income opportunity for the Latin American region’s massive pool of Gig Economy workers – as the company converts existing pools of Gig Economy agents into its own network.
In the first three years, the project is estimated to benefit over 600,000 consumers in Argentina, Chile, Mexico and other countries such as Ecuador, while generating additional income for some 85,000 small businesses and gig economy workers.
About IDB Lab
IDB Lab is the innovation laboratory of the IDB Group, the leading source of development finance and know-how for improving lives in Latin America and the Caribbean (LAC). The purpose of IDB Lab is to drive innovation for inclusion in the region, by mobilizing financing, knowledge, and connections to co-create solutions capable of transforming the lives of vulnerable populations affected by economic, social or environmental factors. Since 1993, IDB Lab has approved over US$2 billion in projects across 26 countries in LAC. www.bidlab.org
Pago46 is a patent pending cash payment technology platform to shop online without the need of a credit card or bank account. We power a community of 46ers, merchants and consumers, where each of our members benefit. Consumers now have access to purchase digital products from our merchant sites, paying in cash to a 46er who earns an income for receiving payment. A 46er, who receives an additional income for receiving that payment. http://www.pago46.com