The article examines how the structure of the banking sector in Latin America affects competition and profitability. It compares 16 countries in the region to see how concentration, competition, and profitability vary. The study uses data from 2011 to 2017 and rejects the idea that higher concentration leads to more profitability. Brazil was found to have the lowest competition index among the countries studied. The research suggests that regulators should focus on promoting competition to reduce bank spread.