Value of investment in fintech worldwide 2019-2024, by region

The global investment in fintech companies experienced a significant decline in 2024, with all observed regions showing decreased investment activity. The Americas maintained its position as the primary hub for fintech investment, attracting 63.8 billion U.S. dollars. Investments in the EMEA (Europe, Middle East, and Africa) region totaled 20.3 billion U.S. dollars, while the Asia-Pacific region received 11.4 billion U.S. dollars in fintech funding. The global fintech investment activity reached in 2024 its lowest point since 2017. 

Quarterly trends reveal ongoing challenges

The downward trajectory in fintech investments became apparent in early 2022 and continued throughout 2023. By the fourth quarter of 2023, global fintech funding had dwindled to 26.9 billion U.S. dollars, a far cry from the peak of nearly 145 billion U.S. dollars seen in the third quarter of 2019. Despite the overall decline, several fintech segments experienced increasing investment activity, with payments, regtech, and wealthtech seeing the sharpest increases.

Venture capital feels the pinch

The fintech investment landscape in 2024 was dominated by M&A deals, which accounted for 49.6 billion U.S. dollars of funding. Venture capital investments, while still substantial at 43.4 billion U.S. dollars, saw a marked decrease from almost 90 billion U.S. dollars in 2022. This decline was not only in value but also in the number of investment deals, which fell from 6,968 to 3,856. Despite the challenges, the fintech sector continues to evolve, with companies like Stripe leading the U.S. market with a valuation of 65 billion U.S. dollars, underscoring the enduring potential of innovative financial technologies.