Irish Fintech Market Sees Major Growth in 2024
2024 has proven to be an excellent year for the Irish fintech sector, demonstrating remarkable resilience and potential amidst global economic challenges.
Record Funding in 2024
According to KPMG’s Fintech H2’24 Pulse Report, the Irish fintech market secured a staggering $237.95 million across 25 transactions. This figure marks an impressive 291% increase from the previous year when the sector raised $60.83 million through 11 transactions.
Major Deals Highlight Growth
A significant highlight in the funding landscape was the acquisition of Dublin-based software company Softco by Keensight Capital, which accounted for $109 million, making it the largest fintech deal in Ireland for 2024. Additionally, the mobile payment platforms Clevercards and Creditlogic also saw notable funding, raising approximately $8.6 million and $3.7 million respectively.
Contrasting Global Trends
While Ireland’s fintech sector thrived, the global fintech investment landscape faced a downturn. Investment fell from $119.8 billion in 2023 to $95.6 billion in 2024, influenced by macroeconomic instability, geopolitical tensions, and election uncertainties in key markets.
Investment Declines in EMEA Region
In the EMEA region, fintech investments declined from $27.6 billion with 1,833 transactions in 2023 to $20.3 billion across 1,465 deals in 2024. This reflects a broader trend of reduced investment appetite worldwide, particularly in response to geopolitical and economic factors affecting investor confidence.
Decline in H2’24 Transactions
The latter half of 2024 experienced a significant drop in fintech transactions, with totals declining from $13 billion over 820 deals in H1’24 to only $7.3 billion across 645 transactions in H2’24. This pattern emphasizes the shifting landscape in fintech funding and investment.
Expert Insight on Future Prospects
Ian Nelson, Head of Financial and Regulatory Services at KPMG in Ireland, noted the impressive growth trajectory of the Irish fintech sector, stating, “The remarkable growth in 2024 underlines both resilience and potential in a difficult economic landscape.” He emphasized the ongoing entrepreneurial spirit in Ireland and the thriving ecosystem that supports innovation.
Positive Outlook for Future Investments
Despite global downturns, the Irish fintech sector demonstrated a significant increase in mergers, acquisitions, and venture capital transactions, with a total of $97.15 million recorded across five deals in H2’24, a substantial rise from $1.61 million in the same period last year. This signals a positive trend for potential investors and startups alike within the fintech arena in Ireland.