WFY’26: Mexico’s factoring market gains momentum

Mexico’s factoring market demonstrated notable resilience in 2025, continuing to grow despite trade policy uncertainty, slowing domestic demand and changing monetary conditions. In this country report, Ana Cristina Mellado, VP SCF Mexico & Latam at J.P. Morgan, examines the key developments shaping the market, from the continued dominance of reverse factoring and growing international factoring volumes to nearshoring, SME financing needs, digitalisation and regulatory change.

The article included in the World Factoring Yearbook 2026 (WFY’26) provides a comprehensive overview of a market where factoring continues to outperform the wider economy, while digital platforms, electronic invoicing and AI-driven underwriting are opening new opportunities for SMEs and cross-border trade finance. It also considers how nearshoring, the upcoming USMCA review and regulatory developments could shape the market’s future growth.
Below is an excerpt from her outstanding article.

Mexico’s factoring industry showed notable resilience throughout 2025, sustaining its upward trajectory despite a challenging macroeconomic backdrop defined by trade policy volatility, slowing domestic demand, and monetary policy shifts. The country enters 2026 having demonstrated an increasingly rare combination: consistent volume growth in the face of acute macroeconomic turbulence.

According to the Mexican Association of Financial Factoring and Similar Activities (AMEFAC) and other Mexican official sources, the formal factoring market reached an estimated USD 37bn – 38bn in 2025, building on the USD 35.3bn recorded in 2024 – itself a 3 per cent annual increase. When non-AMEFAC participants –nonregulated financial companies (SOFOMEs), fintech platforms, and independent providers – are included, market research estimates place the broader market at approximately USD 66bn – 70bn, with a compound annual growth rate (CAGR) of around 13 per cent projected through to 2030.

Full-year GDP growth came in at approximately 0.6 per cent, the slowest pace since 2020, yet the factoring market continued
to outperform the broader economy. This countercyclical resilience reflects both structural demand for trade finance
solutions and the sector’s growing appeal as an alternative to constrained traditional bank lending. With the USMCA review
looming in 2026 and digital innovation reshaping service delivery, Mexico’s factoring landscape stands at an inflection
point.

Factoring Industry Environment
The Mexican economy experienced considerable turbulence in 2025. The first quarter was marked by severe uncertainty
following the imposition – and subsequent temporary rescission – of US tariffs, alongside retaliatory measures. The
GDP grew a modest 0.2 per cent quarter on quarter in Q1, narrowly avoiding a technical recession after a 0.6 per cent
contraction in Q4 2024. The second quarter saw a stronger 0.7 per cent sequential expansion, driven by manufacturing and
services, before the economy contracted 0.3 per cent in Q3 as high borrowing costs and trade-linked uncertainty weighed on
activity. A fourth-quarter rebound of 0.9 per cent brought fullyear growth to approximately 0.6 per cent.

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To read the whole article and 50 other specialist articles and country market reviews, order World Factoring Yearbook 2026 here.