Financial technology is the technology that aims to compete with traditional financial methods in the delivery of financial services. Artificial intelligence, Blockchain, Cloud computing, and big data are regarded as the "ABCD" of FinTech.

As a result of the booming Fintech industry around the world – Czechia companies in the Czech e-commerce, HR, and logistics firms are among the successful Czech firms listed in the Financial Times index. The ranking is based on the compound annual growth rate (CAGR) in revenue between 2017 and 2020. A minimum growth of 36.5 per cent was needed to make the list.

11 Czech companies ranked among the fastest growing in Europe

The top Czech company on the list was Dateio, at 170th place with a CAGR of 108.95 per cent. The fintech company, founded in 2013, analyses payment data of bank clients through marketing linked to card usage. Card users can download an app to get cash back from their purchases or other incentives. Businesses using Dateio's services can get information about the effectiveness of their marketing.

Success Solutions, founded in 2016, was the second Czech firm to make the list, at 196th place, with a CAGR of 102.26 per cent. The company offers digital HR solutions and consulting. They state that they are the top company for implementing the SAP Success Factors, a cloud-based HR solution, in the Czech market. In addition, success Solutions has several custom modules to add to the app so companies can optimize their HR processes.

Transport and logistics company Central Warehouse Solution, which does business under the brand name Skladon, came in 274th with a CAGR of 88.44 per cent. The firm handles logistics and storage for e-shops, which can keep track of their stock over an app. Skladon, established in 2015, handles all aspects of shipping, including customs.

Technology firm Life M ranked 292nd with a CAGR of 85.57 per cent. According to its website, the company supplies devices and consumables for biological and medical laboratories in the Czech Republic, Slovakia, and other markets.

E-commerce firm Favi, founded in 2016, combines furniture and accessories from over 1,000 online stores into one website and shopping app. The company came in 305th place with a CAGR of 83.26.

The final Czech company to make it into the top 500 is Rouvy at 353rd place with a CAGR of 77.10 per cent. They provide realistic simulations for people who run and bike at home. People can, for example, experience popular cycling routes around the world from a stationary exercise bike.

There is a substantial gap in the rankings until the next Czech entry, advertising firm Mediaboard at 536th place. It was followed by cybersecurity firm Citadelo at 650th place, technology firm Kentigen at 868th place, personal and household goods firm Borgy Cz at 884th place, and property firm Accolade at 892nd place.

The accolade was the only Czech firm to have previously made the list, appearing in the 2020 ranking at 685th place, but it did not appear in the 2021 list. As a result, only two Czech firms appeared in FT's 2021 ranking: construction firm Stavební Interierové Systémy and technology firm Denevy.

Of this year's FT ranking, Rouvy and Skladon were the only Czech companies to also make Deloitte's Technology Fast 50 Central Europe rankings for 2021, which was published in January.

Fun Facts: The Czech Republic is one of the world's biggest spenders on innovation

An increasing number of countries worldwide are setting up sandboxes to help develop fintech solutions. Within the EU, Global Government Fintech reported in April 2022 that the Cyprus Securities and Exchange Commission was considering establishing a regulatory sandbox. 

The Economist Intelligence Unit has released its Technological Readiness Ranking by assessing eight indicators across three categories: access to the internet, digital economy infrastructure, e-government and cyber-security offerings, and openness to innovation.

Of the 82 countries surveyed, the Czech Republic, scored 27th in overall technological readiness, the best score in Eastern Europe. According to Czech Investment, every third of 106 investment projects in 2017 was a so-called high-tech project, a highly technologically oriented project linked to research and development activities.

Relevant sources:

https://www.ft.com/ft1000-2022

Deloitte's Technology Fast 50 Central Europe

Investment and Business Development Agency - CzechInvest

Economist Intelligence Unit has released its Technological Readiness Ranking 

Author: Sean Hlomane, Industry and Trade Specialist: Economic and Commercial Section