MercadoLibre, Latin America’s leading e-commerce platform, reported significant growth in sales during August, with 20 million products sold, amounting to $916 million. The company observed a shift in consumer spending, as people moved towards purchasing non-essential items like electronics, including computers, tablets, and cellphones, after a focus on essential goods earlier in the year.
The tech giant also saw a substantial increase in its lending business, with its credit portfolio expanding by 69% year-on-year as of September. This growth is fueled by rising demand for loans from consumers, sellers, and small businesses. Additionally, payments made through MercadoLibre’s QR code system at physical stores jumped 68% compared to last year, thanks to promotions and interest-free installment plans.
MercadoLibre noted signs of economic recovery in Argentina, despite the country being mired in its sixth recession in a decade. Key indicators, such as property listings and vehicle searches, suggest that consumers are beginning to adapt to President Javier Milei’s economic reforms aimed at reducing inflation and ending budget deficits. Monthly inflation has slowed to 4%, down from nearly 26% when Milei assumed office in December.
While Argentina remains in economic turmoil, MercadoLibre continues to thrive, with its operations primarily centered in Brazil. The company’s performance underscores its resilience in the face of regional challenges.
