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Although four banks concentrate most savings and loans in the financial system, competition between institutions has increased in recent years, particularly in the segments of commercial loans and deposits, according to a study by the University of Pacific (UP.)

According to Eduardo Moron, a researcher at the UP, this dynamic reflects the income of municipal banks in Lima, but felt that the competition will tend to increase further. “They are biting (market share), but not all customers have migrated their large bank deposits to the boxes,” he said.

That would explain why the major banks have matched the offer smaller financial institutions in terms of interest offered by savings.

He stressed that, little by little, the customers of the financial system are taking a proactive stance, comparing interest rates, costs and services. “That consumer is being promoted competition, as it is ready to jump from one provider to another,” he said.

BANKING. Another segment where competition has increased according to the investigation of Moron is micro credit. In this regard, the general manager of the Association of Banks (As banc), Enrique Arroyo, said the banking of micro enterprises could grow 33% to 40%.

He said that about 400,000 micro entered the financial system over the past eight years. In turn, Scotia bank’s executive vice president, Hubert Fed felt that in this market there is enough space to enter more financial institutions.