Top 5 jurisdictions to obtain EMI license in 2025

The European Payment Services Directive (PSD2) has ignited a fintech revolution across Europe, spurring the growth of Electronic Money Institutions (EMIs). As fintech companies seek to capitalize on this opportunity, understanding the most conducive jurisdictions for obtaining an EMI license is paramount.

In 2025, these five European countries stand out as prime destinations for aspiring fintech firms:

1. Ireland

Ireland's business-friendly approach and robust regulatory framework have solidified its position as a leading fintech hub. The Central Bank of Ireland (CBI) offers a relatively streamlined licensing process, making it an attractive option for both established and emerging fintech companies. Ireland's English-speaking environment and proximity to the UK market further enhance its appeal.

Key Strengths:

Competitive licensing costs

Favorable tax regime

Skilled workforce

Strong reputation as a fintech hub

2. Netherlands

The Netherlands, with its strategic location, stable economy, and advanced payment infrastructure, presents an enticing opportunity for fintech firms. De Nederlandsche Bank (DNB) actively supports innovation and fosters a collaborative environment for fintech companies. Amsterdam, the country's financial heart, offers a thriving ecosystem for fintech businesses.

Key Strengths:

Central European location

Stable economy

Well-developed payment system infrastructure

Advanced financial technology sector

3. Sweden

Sweden's commitment to innovation and digitalization has made it a fertile ground for fintech growth. Finansinspektionen, the Swedish Financial Authority, provides a supportive regulatory environment that encourages fintech experimentation. Sweden's high-quality living standards and strong reputation for transparency attract top talent and international investors.

Key Strengths:

High level of digitalization and innovation

Favorable regulatory environment for fintech

High quality of life

Attractiveness to talented professionals

4. Malta

Malta's strategic location, competitive tax regime, and English-speaking population have propelled it to prominence as a fintech destination. The Malta Financial Services Authority (MFSA) offers a streamlined licensing process and a supportive regulatory framework. Malta's growing reputation as a fintech hub, coupled with its access to European and African markets, makes it an appealing option for fintech companies.

Key Strengths:

Competitive license fees

Favorable tax incentives

Strategic location

5. Luxembourg

Luxembourg, a global financial center, provides a stable and well-regulated environment for fintech businesses. The Financial Sector Supervisory Commission (CSSF) oversees a rigorous licensing process, ensuring high standards of compliance. Luxembourg's strong reputation as a financial hub and its proximity to major European markets make it a compelling choice for fintech companies seeking a European foothold.

Key Strengths:

Strong reputation as a financial center

Favorable tax regime

Access to a large European market

Selecting the optimal jurisdiction for an EMI license requires careful consideration of various factors, including regulatory requirements, tax implications, market access, and operational costs. IFB can provide expert guidance and support throughout the licensing process, helping you navigate the complexities and make informed decisions.