Cybersecurity is becoming a major technology issue for small and medium-sized businesses in Puerto Rico, with a new study showing that security concerns are influencing decisions about digital payments, online tools and business expansion.

The Mastercard 2026 SME Cybersecurity Outlook, released September 29, found that 34% of surveyed Puerto Rico SMEs experienced a cybersecurity incident during the previous year. Payment fraud was the most commonly reported incident, followed by data breaches and system intrusions.

The study also found that 48% of Puerto Rico SMEs have slowed or stopped adopting digital tools or payment methods because of cybersecurity concerns. Forty-one percent said they had delayed adopting new payment methods, while 38% postponed partnerships with larger digital platforms.

Despite widespread awareness, preparedness remains uneven. Although 99% of surveyed businesses reported at least some familiarity with cybersecurity, only 20% said they were very confident in their ability to protect their businesses. About 56% reported having a formal cybersecurity response or recovery plan.

The survey covered 200 small and medium-sized business owners and senior decision-makers in Puerto Rico during the second quarter of 2026, with an approximate margin of error of ±6.9 percentage points.

The findings highlight the growing connection between cybersecurity, digital payments and business growth as Puerto Rico’s companies expand their use of technology.