When financial innovation is discussed, the spotlight typically falls on disruptive fintech startups. Yet Banco República Oriental del Uruguay, known as BROU, demonstrates that legacy financial institutions can lead digital transformation without abandoning their core strengths. As Uruguay's oldest bank, BROU launched BROU a Mano, a digital wallet that proves modernization doesn't require complete system overhauls when institutions focus on user experience and strategic partnerships.

Key Takeaways

• Digital payments now represent 60% of consumer spending in Latin America, with Uruguay leading the regional transition to cashless transactions

• Electronic payment methods account for 75% of all payments in Uruguay, demonstrating widespread adoption of digital financial services

• Traditional banks can successfully adopt modern digital services by combining existing trust and scale with agile fintech partnerships rather than complete system rebuilds

• Digital wallets serve as effective tools for strengthening customer loyalty when designed around high-frequency local payment use cases

• Cloud-native banking platforms provide the technical foundation for launching innovative products while preserving core system stability

Why Is Uruguay Leading Latin America's Shift to Digital Payments?

Uruguay sits at the forefront of Latin America's cashless payment transformation. According to recent research, digital and electronic payment methods now represent 60% of all consumer expenditure in Latin America. The country demonstrates several key trends:

• Electronic payment methods account for 75% of all payments in Uruguay, with widespread adoption across consumer segments

• Consumers increasingly manage finances through mobile applications rather than visiting physical bank branches

• Digital wallets address everyday payment needs including contactless purchases, instant transfers, and bill payments

• User expectations have shifted toward seamless, modern financial service experiences

BROU recognized digital wallets as the most effective way to strengthen customer relationships by delivering the seamless experience that users expect from their financial services providers.

What Are Digital Wallets and Why Are Uruguayans Adopting Them?

Digital wallets have become an integral part of Uruguay's payment ecosystem. These mobile-first solutions enable users to:

• Make contactless payments at merchants

• Transfer money instantly to other users

• Pay bills for utilities and services

• Manage finances without physical cards or cash

The shift to digital payments in Uruguay reflects changing consumer preferences across demographics. As the country moves toward becoming predominantly cashless, digital wallets are playing a central role in modernizing the payment landscape. Younger users lead adoption rates, while established institutions like BROU work to ensure digital financial services remain accessible to all customer segments.

Why Do Traditional Banks Struggle to Launch Digital Products?

Traditional financial institutions face persistent infrastructure challenges:

• Legacy systems require substantial maintenance resources that could otherwise fund innovation

• According to research on technical inclusion barriers, many financial services leaders in Latin America allocate significant portions of their IT budgets to maintaining outdated infrastructure

• Complete system rebuilds are costly and risky, potentially disrupting customer service

• Outdated technology creates barriers to launching modern digital products

Rather than undertaking a complete system rebuild, BROU chose a strategic approach. The bank combined its established reputation for reliability and customer service with Galileo's Cyberbank Digital platform. This partnership allowed BROU to launch a secure, versatile wallet within its existing mobile application, extending modern capabilities to customers without disrupting backend operations.

What Is Core Banking Modernization and Why Does It Matter?

Financial institutions across Latin America face pressure to modernize core banking systems. Core banking modernization enables banks to:

• Deliver innovative products faster

• Reduce operational costs

• Compete effectively with fintech challengers

• Adapt quickly to changing market conditions and customer expectations

BROU's approach demonstrates how traditional banks can adopt modern digital services through strategic technology partnerships. By leveraging Cyberbank Digital, banks can deliver exceptional customer experiences without replacing entire technology stacks.

What Features Does BROU a Mano Offer for Everyday Banking?

BROU a Mano extends beyond standard digital wallet functionality. Through collaboration between Galileo's technical expertise and BROU's understanding of local customer needs, the project prioritized the most frequent payment scenarios in Uruguay.

Key capabilities of BROU a Mano include:

• Instant merchant payments through NFC contactless technology or QR code scanning

• Mobile phone top-ups completed in seconds

• Bill payments for utilities and services

• Secure authentication using biometric verification

• Integration with existing mobile banking app for seamless access

The wallet's design emphasizes security and convenience, allowing users to conduct financial transactions without carrying physical cards or cash.

How Can Legacy Banks Innovate Without Rebuilding Their Systems?

BROU's rapid deployment resulted from strategic collaboration rather than building everything internally. This partnership approach delivered several advantages:

• Combined BROU's scale, customer trust, and market knowledge with agile fintech technology

• Delivered frictionless user experience in significantly less time than traditional development

• Reduced risk compared to building proprietary systems from scratch

• Enabled focus on customer relationships while technology partners handled platform capabilities

Traditional banks that partner with proven technology platforms can accelerate their digital transformation initiatives. Galileo's platform provides the technical infrastructure financial institutions need to launch modern digital banking products without lengthy development cycles or massive capital investments.

This partnership model allows banks to focus on their core strengths while technology partners handle platform capabilities, compliance requirements, and ongoing innovation.

Lessons for Financial Institutions

BROU's experience provides a blueprint for traditional financial institutions seeking to remain competitive in evolving digital markets. Key success factors include:

• Understanding local payment preferences and customer needs

• Leveraging existing customer trust and brand reputation

• Partnering with proven technology platforms

• Focusing on high-frequency use cases that matter most to customers

• Minimizing disruption to existing operations while maximizing customer value

Financial institutions considering similar initiatives should evaluate their customers' most pressing payment needs, assess technology partner capabilities beyond basic features, and develop implementation strategies that balance innovation with operational stability.

What Capabilities Do Modern Digital Banking Platforms Provide?

Modern digital banking platforms enable financial institutions to offer capabilities that improve customer satisfaction and streamline operations:

• Personalized, mobile-ready services

• Cloud-native architectures for quick adaptation to market needs

• Comprehensive product offerings including digital wallets, payment processing, and account management

• Flexibility to evolve without major system overhauls

These platforms support banks in maintaining control over customer relationships and branding while leveraging advanced technology capabilities.

Transform Your Bank's Digital Future

BROU's successful launch of BROU a Mano demonstrates that traditional financial institutions can compete effectively in digital markets without abandoning their core strengths. By partnering with the right technology platform, legacy banks can deliver modern digital experiences that meet customer expectations while maintaining operational stability and regulatory compliance.

The path forward for traditional banks involves:

• Identifying high-value use cases that matter most to your customers

• Selecting technology partners with proven track records in your market

• Implementing solutions that integrate with existing systems

• Maintaining focus on customer experience throughout the transformation journey

Ready to modernize your digital banking capabilities? 

Contact Galileo to learn how our proven platform solutions can help you launch innovative digital products, enhance customer experiences, and compete effectively in today's dynamic financial services market.

Frequently Asked Questions

What is BROU a Mano?

BROU a Mano is a digital wallet launched by Banco República Oriental del Uruguay that enables customers to make contactless payments, transfer money, pay bills, and manage finances directly from their mobile devices without physical cards or cash.

How does BROU a Mano benefit traditional bank customers?

BROU a Mano provides customers with modern payment convenience while maintaining the security and trust of an established banking institution. Users can make instant merchant payments via NFC or QR codes, top up mobile phones in seconds, pay utility bills, and access services 24/7 through biometric authentication.

What is Cyberbank Digital?

Cyberbank Digital is a cloud-native digital banking platform from Galileo that enables financial institutions to create and deliver exceptional customer experiences without replacing their entire technology infrastructure. The platform provides:

• Feature-rich capabilities for account management, transactions, and payments

• Flexible integration with existing banking systems

• Rapid deployment of digital financial products

• Support for personalized customer journeys across all devices

Why do legacy banks struggle with digital transformation?

Traditional financial institutions face several challenges when modernizing:

• Legacy systems consume significant IT budget resources for maintenance

• Complete system rebuilds carry high costs and implementation risks

• Outdated technology creates barriers to launching innovative products

• Modernization projects can disrupt customer service and operations

How can traditional banks compete with fintech companies?

Traditional banks can successfully compete by leveraging their unique advantages:

• Established customer trust and brand recognition

• Existing customer base and market presence

• Strategic partnerships with technology platforms like Galileo

• Focus on customer experience rather than building everything internally

• Regulatory expertise and compliance infrastructure

What are the benefits of digital banking partnerships?

Technology partnerships enable banks to accelerate digital transformation:

• Faster time to market for new digital products

• Lower risk compared to building proprietary systems

• Access to proven technology platforms and expertise

• Reduced capital investment in technology development

• Ongoing platform innovation without internal development overhead

What is core banking modernization?

Core banking modernization involves updating a bank's fundamental technology infrastructure to support modern digital services. This process enables financial institutions to deliver innovative products faster, reduce operational costs, and compete effectively with digital-first challengers while maintaining system stability and regulatory compliance.

Modern approaches often involve cloud-native platforms that integrate with existing systems rather than requiring complete replacement, reducing risk and accelerating deployment timelines.

How does Galileo support financial institutions in Latin America?

Galileo Financial Technologies provides comprehensive platform solutions for financial institutions across Latin America, including banks in Uruguay, Panama, and other countries throughout the region. The platform enables institutions to launch digital banking products, payment processing services, and innovative financial solutions through modern APIs and cloud-native architecture.

Galileo's partnerships with regional banks demonstrate the platform's capability to support diverse market needs while maintaining local market understanding and regulatory compliance.

Galileo Financial Technologies, LLC is a technology company, not a bank. Galileo partners with many issuing banks to provide banking services in North and South America.