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Citi backs Rextie to focus on small business transactions
August 25, 2023
Citi says it is investing in Peruvian foreign exchange (FX) FinTech Rextie.
“The investment makes Rextie Latin America’s first FX FinTech to receive an investment from one of the largest banks in the world,” Citi said in a news release Thursday.
In addition to the investment, the banking giant said it will also integrate its foreign exchange technology into Rextie’s currency exchange services.
“Going forward, Rextie will focus its efforts on attracting more small- and medium-sized businesses, including customers involved in import and export activities,” said Mateu Batle, Rextie’s co-founder and CEO. “Also, we will accelerate our growth supported by our experience, the knowledge and specialized technologies that will be empowered by Citi.”
According to the release, Rextie expects by next year to have exceeded $7 billion dollars exchanged in the platform since its launch.
The investment comes from Citi’s Institutional Strategic Investments arm, which invests in FinTechs aligned to Citi’s institutional businesses. The companies call it a demonstration of how FinTechs and banks “can collaborate to reinvent and innovate financial services in the region.”
The rise of those collaborations is something PYMNTS has been tracking for some time, as the continuing digital shift puts pressure on these financial institutions to join forces.
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