Private capital invested across Latin America hit $25.6 billion in 2025, spanning 947 transactions and $8.57 billion in newly raised funds, according to the Latin America Private Capital Activity report published this week by Bloomberg Línea in partnership with Deloitte and ColCapital.

The region is consolidating its private capital market after the slowdown of 2022-2023, buoyed by the reconfiguration of global supply chains that benefit Brazil, Mexico, and Colombia. These three countries account for over 70% of regional activity. Mexico stands out as a particular beneficiary of nearshoring, as manufacturing and logistics integration with the United States continues to attract private capital toward industrial infrastructure, logistics parks, and renewable energy projects. The report pegs average annual internal rate of return (IRR) for the region at 14.34%.

Deloitte and ColCapital's analysis identifies three risk vectors for 2026: escalating tariffs between China and the U.S., which squeeze manufacturing margins in Mexico; credit rating revisions by Moody's across several regional sovereigns; and regulatory uncertainty in Brazil's energy and telecommunications sectors. Despite these headwinds, the report projects that new fund deployment will maintain its pace, with Mexico remaining the region's most attractive market for international capital thanks to its integration with North American markets.

For funds operating across the region, the Mexico-U.S. corridor concentrates the largest deal flow in precision manufacturing, semiconductors, and last-mile logistics. The anticipated renewal of USMCA before the end of 2026 is the primary catalyst driving new investment commitments in the Mexican market.

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