Cyber fears threaten SME growth despite digital payment boom – Mastercard

Small firms across Latin America and the Caribbean have largely completed the shift to digital payments. Their next challenge is staying secure online.

A survey by Mastercard found that 97 per cent of small and medium-sized enterprises (SMEs) now accept digital payments, underlining how deeply digital commerce has become embedded in business activity across the region. Yet concerns about fraud, cyberattacks, and data protection are increasingly shaping investment and expansion plans.

The Mastercard 2026 SME Cybersecurity Outlook, which surveyed 2,400 SME owners and decision-makers across 12 markets, found that 51 per cent of respondents see fraud and cyberattacks as the biggest obstacle to further expanding their use of digital payments.

Cybersecurity concerns are also slowing broader digital transformation. Four in ten businesses said cyber risks had delayed or halted the adoption of new digital tools or payment systems. Nearly a third reported postponing e-commerce expansion or entry into new markets because of security concerns.

The findings suggest that access to digital payments is no longer the main hurdle for many SMEs. Instead, confidence in their ability to operate securely online is becoming increasingly important to future growth.

Business owners view cybersecurity not only as protection against losses but also as a driver of expansion. Nearly half said stronger defences against fraud and cybercrime could help their businesses achieve at least 25 per cent additional growth.

Meanwhile, 42 per cent identified increasing online and digital sales as one of their biggest opportunities over the next two years.

Awareness of cyber threats is high, but preparedness remains limited. Although 93 per cent of SMEs said they were familiar with cybersecurity, only 18 per cent considered themselves highly prepared to protect their businesses. One in five firms has no cybersecurity response or recovery plan.

“For small businesses across Latin America and the Caribbean, cybersecurity is no longer just a technology concern. It is a business imperative,” said Ana Lucía Magliano, executive vice-president, services, Mastercard Latin America and the Caribbean. “Our research shows that SMEs have largely embraced digital payments, but concerns about fraud and cyberattacks continue to hold many back from pursuing new opportunities. When security becomes a foundational piece of their evolution story, businesses are better positioned to expand, serve customers, and thrive.”

The survey highlights a growing gap between digital adoption and cyber resilience. As SMEs expand their online presence, many remain vulnerable to threats that could limit growth and undermine confidence in digital commerce.

Mastercard said it is investing in technologies and services designed to help businesses identify, prevent, and respond to cyber threats. Through its Mastercard Trust Center, the company provides free cybersecurity resources, training, and risk-assessment tools for SMEs across the region.

The Mastercard 2026 SME Cybersecurity Outlook was conducted in the second quarter of 2026 in Argentina, Brazil, Chile, Colombia, Costa Rica, the Dominican Republic, Ecuador, Guatemala, Mexico, Panama, Peru, and Puerto Rico. Mastercard partnered with Payments and Commerce Market Intelligence (PCMI), a payments-industry research firm, to conduct the study.