According to Jinshi, French Central Bank Governor Villeroy de Villeroy said that financing for French fintech companies may pick up in early 2025 due to lower borrowing costs from the European Central Bank.

Villeroy noted that in the first half of 2024, investments in the sector reached 560 million euros, close to the 568 million euros in the same period last year. This stable trend is mainly due to changes in monetary policy.

The last ECB rate hike was in September 2023, after which it cut rates by 25 basis points in the June and September meetings due to a clear drop in inflation. The first half of this year could mark a turning point for the fintech ecosystem to resume growth.

In addition, the number of new projects at the French Prudential Regulation Authority (ACPR) has increased as the agency prepares to assume the role of regulating artificial intelligence in the financial sector, with a particular focus on systems that attribute credit notes to individuals.