It took place on Sunday 1 May 1988 at Dalymount Park in Dublin, and was contested by Dundalk and Derry City.

They had overcome non-league St Joseph's Boys (6–0), Bohemians (4–1 in a replay after a 0–0 draw), Home Farm (3–0), and Longford Town (6–2 on aggregate in a two-leg semi-final) to reach the final.

[5] The match, spoiled somewhat by a strong blustery wind and a cut-up pitch, was settled by a controversial 20th-minute penalty, scored by John Cleary.

Derry's Martin Bayly had been harshly adjudged to have fouled Dundalk's Larry Wyse by referee Spillane, when Bayly pushed Wyse on the right-hand side of the penalty area but not with enough force to knock him over.

Derry City had two claims for penalties of their own waved away in the second half, but on the balance of play Dundalk were considered to have been the better team, generally snuffing out Derry City's attacking play and creating a number of good chances of their own.