Revolut to Invest €1 Billion in France, Expand European Presence

Revolut Ltd, a UK-based digital banking giant, has announced a significant investment of over €1 billion ($1.1 billion) in France over the next three years. This move is part of the fintech’s broader strategy to strengthen its presence across Europe and build deeper roots in its fastest-growing markets. The announcement was made during the Choose France business summit in Paris, hosted by President Emmanuel Macron.

Revolut plans to establish its new Western European headquarters in the French capital, committing to hire at least 200 additional employees over the investment period. The company is also in the process of submitting an application to France’s banking regulator, the Prudential Supervision and Resolution Authority (ACPR). This move is encouraged by the watchdog to improve regulatory oversight, especially given that France now represents the firm’s largest user base within the EU.

Currently, Revolut has around 300 employees and 5 million users in France, with targets to grow that to 10 million by 2026 and 20 million by 2030. The company already offers loans, cryptocurrency services, and trading products to its French customers. Founded in 2015, Revolut has grown into one of the largest fintech firms globally, with 55 million customers and a workforce of roughly 10,000. It reported $4.1 billion in revenue last year and was last valued at approximately $45 billion.

Much of this growth occurred despite a lack of full banking licenses in major markets, something CEO Nik Storonsky has acknowledged as a strategic oversight. While Revolut holds a restricted licence in the UK and a full European banking licence through Lithuania, the company is now pursuing banking permissions in 10 additional countries. It recently secured a Prepaid Payment Instruments licence in India and plans to launch operations in Mexico soon. Beyond Europe, Revolut is expanding across southern Europe, the Nordics, the Middle East, and Asia-Pacific, aiming to solidify its position as a global financial platform.

Revolut’s investment in France and its pursuit of a local banking licence are strategic moves to enhance its regulatory compliance and market penetration. By establishing a strong presence in France, Revolut aims to leverage the country’s robust financial infrastructure and regulatory environment to support its growth ambitions. This investment also underscores Revolut’s commitment to expanding its services and user base in Europe, where it sees significant growth potential.

Revolut’s decision to invest heavily in France and seek a local banking licence is a clear indication of its long-term strategy to become a leading global financial platform. By strengthening its presence in key markets and enhancing its regulatory compliance, Revolut is positioning itself to capture a larger share of the growing fintech market. This move is likely to have a positive impact on the company’s growth prospects and its ability to compete with traditional banks and other fintech players in the region.