SAO PAULO, Sept 9 (Askume) – Brazil’s instant payment system Pix is expected to overtake credit cards as the leader in the local online shopping market by early next year, a new study by Brazilian payments company Ebanx showed on Monday.
Launched by the Central Bank of Brazil in late 2020, Pix quickly became one of the most used tools to send money or buy money, as it offers transactions that are mostly free and settle instantly.
The study, based on data from research and intelligence firm PCMI, shows that by the end of 2025, Pix is expected to account for 44% of Brazil’s online payments market, with credit cards holding a 41% share.
A previous version of the study released earlier this year predicted that Pix would not reach credit card parity in the local online market until the end of 2026 .
Juliana Etcheverry, country development director for Latin America at eBanks, told Askume that Pix is pioneering an approach to financial inclusion that encourages more merchants to offer instant payment methods.
“It’s a chicken and the egg situation, a virtuous circle,” he told Askume.
By the end of 2022, about 71.5 million Brazilians had been included in the financial system through PIX, according to the central bank.
Etcheverry said Pix’s growth in travel, in retail and digital markets also highlights the huge potential for Pix.
Brazil’s central bank is expected to introduce new Pix features, including installment options, in the coming years, which could pose a major threat to credit cards.
According to Etcheverry, some former credit card users have switched to Pix.
The outlook for credit cards has not changed much from previous studies, both of which projected credit card share in the e-commerce market to decline from 49% in 2023.
Still, Echeverri doesn’t believe that PIX will eventually replace cards . “The card industry is also investing in protocols and features that will enable them to grow in the market as well.”
The central bank said on Monday that Pix recorded 227.4 million transactions on Friday, the highest single-day volume ever recorded on the system.
