An Analysis of the Emergence of Open Banking

Open banking has rapidly gained traction in recent months, with customers increasingly embracing this financial concept, as reported in Fintech Global. The long-standing debate around open banking appears to be settled, as evidenced by the views of several RegTech industry experts on its growth.

In simple terms, open banking allows individuals to securely share their banking data with third-party providers via application programming interfaces (APIs). This opens up a broader array of financial services and products from various institutions, fostering competition and innovation within the banking sector.

Hetal Popat, Programme Director and Head of Open Banking and PSD2 at HSBC UK, shared insights on the potential of this promising space. He revealed, “I would say it has taken off. If I look across HSBC’s 13 countries in Europe all with various different types of open banking implementation we are seeing more than 2m calls a day being handled by our platforms. By the end of the year, we will have a run-rate of more than €500m a year of payments. We’re also trending up above 300 thousand customers who are using open banking and that’s growing roughly 15-20% per month.”

Despite this growth, the sector faces the challenge of keeping pace with the ambitious goals set by experts. To delve deeper into this topic and listen to the full presentation, professionals can enroll in the Professional RegTech Certificate course.

The Professional RegTech Certificate course provides a comprehensive and practical exploration of Regulatory Technology (RegTech) for financial industry professionals. Covering key topics such as the fundamentals of RegTech, adoption strategies for financial institutions, regulators’ perspectives, data reporting, KYC and onboarding, anti-money laundering, cybersecurity, and advanced technologies like AI and ML, the course offers a holistic view of the RegTech landscape. It combines real-world case studies with insights from leading-edge RegTech innovators and senior leaders from financial institutions.

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