The 1997–98 Scottish Challenge Cup was the eighth season of the competition, competed for by the 30 member clubs of the Scottish Football League.
The defending champions were Stranraer, who defeated St Johnstone 1–0 in the 1996 final.
[1] The final was played on 2 November 1997,[2] between Falkirk and Queen of the South at Fir Park in Motherwell.
Brechin City and Ross County received random byes into the second round.
^ The 1998–99 tournament was suspended due to lack of sponsorship