Contactless Payments Surge in Ireland, But Donegal Remains a Cash Holdout

Ireland is rapidly embracing digital payments, with contactless transactions reaching over €30 billion in 2025. However, County Donegal stands apart as the sole region in the country where cash withdrawals have not declined, according to the latest data from the Banking & Payments Federation Ireland (BPFI).

Contactless Payments Dominate

Over 1.6 billion contactless point-of-sale (POS) payments, totaling more than €30 billion, were made in Ireland throughout 2025. This represents a significant increase of 6.8% in volume and 12.6% in value compared to 2024 [BPFI Payments Monitor – February 2026]. Contactless payments now account for 88.7% of all POS card payments nationwide.

Mobile Wallets Gain Traction

The shift towards digital payments is further fueled by the growing popularity of mobile wallets like Apple Pay and Google Pay. These platforms facilitated 62.4% of all contactless payments in 2025, surpassing traditional card-based contactless transactions [BPFI Payments Monitor – February 2026]. On average, Irish consumers made 298 contactless payments using Irish cards in 2025, with 159 of those transactions conducted through mobile wallets.

Cash Withdrawals Decline – Except in Donegal

While the trend towards cashless transactions is clear across most of Ireland, County Donegal is bucking the trend. The number of cash withdrawals nationwide fell by 7.1% in 2025 to 82.2 million, and the total value of withdrawals decreased by 4.2% to €12.2 billion [BPFI Payments Monitor – February 2026]. However, the value of cash withdrawn in Donegal remained unchanged.

BPFI Insights

Gillian Byrne, Head of Payments at BPFI, noted the continued popularity of contactless payments among Irish consumers. “This trend was reflected across the country with the value of cash withdrawn falling in every county except Donegal, where the value was unchanged,” she stated [BPFI Payments Monitor – February 2026].

BPFI Role and Membership

The Banking & Payments Federation Ireland (BPFI) represents over 100 domestic and international member institutions, working to support the banking and payments sector in Ireland [Banking & Payments Federation Ireland]. The BPFI mobilizes collective resources and insights to benefit its members, customers, and the broader economy [Banking & Payments Federation Ireland].