The retail banking market in Brazil continues to expand, reaching 290.5 million active clients as of September 2024, reflecting a quarterly growth of 2.5% and an annual increase of 8.6%. Credit transactions surged to 758.7 million, with a quarterly rise of 4.5% and an annual growth rate of 13.9%. Nubank maintains its dominance with a 20.3% market share, followed by Itaú, Bradesco, Santander, and Caixa Econômica Federal. The ten leading competitors collectively control 68.45% of the client base. Master experienced the highest market share increase in both client acquisition and credit transactions, marking a significant expansion within the sector.
Key Insights
Brazil's retail banking sector recorded 290.5 million active customers by September 2024, showing an 8.6% increase over the past year. The number of credit operations grew by 13.9% annually, reaching 758.7 million transactions, demonstrating robust expansion in the market.
Nubank remains the largest player, commanding a 20.3% market share in terms of customers, while Itaú follows with 10.9%. Other major competitors include Bradesco, Santander, and Caixa Econômica Federal, consolidating their presence in the market. The top ten institutions collectively hold 68.45% of all banking customers, underscoring the concentration of market power.
Among the most rapidly growing competitors, Master led in customer acquisition, increasing its market share by 1.63 percentage points. Mercado Crédito, Original, Nubank, and MercadoPago also expanded their client base, solidifying their positions in the competitive landscape.
In the credit transactions segment, Master again showed the highest growth, gaining 2.44 percentage points in market share. Original, Inter, Nubank, and Mercado Crédito followed, reflecting strong customer demand for credit products from these institutions.
Digital-first institutions and fintechs continue to challenge traditional banking players, as indicated by Nubank's consistent market share gains and the increasing presence of alternative lenders such as Mercado Crédito and Original.
Market Overview
The retail banking industry in Brazil reached a total of 290.5 million active customers by September 2024, marking a 2.5% increase compared to the previous quarter and an 8.6% rise over the past year. This expansion is accompanied by a surge in credit transactions, which totaled 758.7 million, with a 4.5% quarterly increase and a 13.9% annual growth. These figures highlight the continuous demand for banking services and credit solutions among Brazilian consumers.
Nubank solidified its position as the leading retail bank in Brazil, holding a 20.3% market share in terms of customer base. Itaú follows with 10.9%, while Bradesco, Santander, and Caixa Econômica Federal control 9.5%, 7.1%, and 6.9% of the market, respectively. Other institutions rounding out the top ten include Banco do Brasil, BTG Pactual | PAN, Banco CSF S.A., C6 Bank, and Inter. Together, these ten financial institutions account for 68.45% of all active customers, demonstrating a high degree of market concentration.
Master experienced the most substantial customer base expansion, gaining 1.63 percentage points in market share. Mercado Crédito, Original, Nubank, and MercadoPago also registered notable increases in their respective shares, reflecting strong consumer interest in their offerings.
Regarding credit operations, Master led with a 2.44 percentage point increase in its market share, followed by Original with a 0.61 percentage point gain. Inter, Nubank, and Mercado Crédito also saw positive growth in their credit operations, indicating a shift in consumer preferences towards their financial products.
The rise of digital and alternative banking solutions is evident as fintechs and digital-first institutions continue to attract customers and gain market share in both client acquisition and credit operations. The increasing competitiveness of these players suggests ongoing changes in the landscape of retail banking in Brazil, with technology-driven financial services playing a crucial role in shaping future market dynamics.