TLDR:
- Irish FinTech investment declined by 94% in 2023 compared to 2022.
- Global FinTech investment dropped to a six-year low in 2023.
Irish FinTech investment saw a significant decrease in 2023, with only $60.83 million invested across 11 deals, a 94% drop from the previous year. This decline was reflective of global trends, as global FinTech investment reached a six-year low of $113.7 billion. The EMEA region, however, saw a growth in investment in H2’23 compared to H1’23, but overall FinTech funding was at its lowest level in seven years.
Despite the challenges, the Irish FinTech market remains resilient and innovative, with opportunities seen in regtech, payments, insurtech, and wealthtech. Moving forward, the sector is expected to recover as market conditions stabilize, with a focus on using technologies like AI and Web 3.0, ESG, and open banking. Balancing regulation and innovation will remain a key challenge for the industry.
In 2023, Ireland’s FinTech sector attracted only $1.61 million in investments across two deals in the second half of the year, with no transactions recorded in Q4. The largest deal was $53 million raised by NomuPay. Looking ahead to H1’24, trends to watch include increased M&A activity in payments, AI prioritization, focus on enterprise solutions, and a push towards regtech due to evolving regulations.
