The number of cards with a credit function in Brazil has shown significant volatility over the past decade. Standing at 183.79 million units in 2023, the market experienced notable ebbs and flows. Year-on-year variation for 2023 was 1.01%, with the five-year CAGR barely rising with an average growth of 0.015%. The historical high of 202.8 million units observed in 2018 was followed by fluctuations such as a sharp decline in 2020 and a strong recovery in 2021 with a 27.87% increase. Going forward, the forecast indicates a steady albeit modest growth rate, evidenced by a forecasted five-year CAGR of 0.79% through 2028.
Future trends to watch for:
- A move towards digital payment solutions, which could either complement or cannibalize traditional credit card growth.
- Regulatory changes and economic conditions in Brazil may also impact market dynamics.
- Technological advancements and increased competition could drive innovation in card features and benefits, influencing consumer adoption rates.
- Monitoring consumer behavior shifts, such as preferences for credit over debit, will be critical in forecasting future demand accurately.