SAO PAULO (Reuters) – Latin American e-commerce company MercadoLibre is one of the few firms not scaling back spending amid the coronavirus pandemic and plans to move forward with a planned 4 billion reais ($717 million) investment in Brazil this year, an executive told Reuters on Tuesday.
After seeing a sharp drop in demand in the second half of March, the Argentina-based company reported strong sales in April with an increasing number of consumers shopping online while social distancing measures were in place.
“We might have to redirect some spending to logistics due to the rise in e-commerce demand, but for now the idea is to keep capital expenditure,” said MercadoLibre’s vice president for Latin America, Stelleo Tolda.
He noted that stay-at-home measures led a growing number of smaller vendors to seek digital platforms such as MercadoLibre to continue selling their products and preserve cash flow.
The e-commerce firm has