Vixio, a provider of regulatory intelligence solutions, has published its 2024 Open Banking Outlook report, a unique dive into the growing issue of open banking. This report delves into the current and future open banking landscape and offers valuable insights on how businesses can leverage its benefits for competitive advantage.
Open banking allows third parties to access consumer banking information, transaction details, and other financial data through application programming interfaces (APIs). It improves customer experience through greater control over personal information and enhances portability and flexibility. According to the report, nearly all countries worldwide have some form of open banking initiative, meaning that businesses need to embrace it now and adapt accordingly.
“Our 2024 Open Banking Outlook report equips businesses with the knowledge and foresight they need to navigate this evolving landscape and capitalize on the opportunities it presents,” said John Gidla, head of payments compliance at Vixio. “Open banking is no longer a buzzword but a global movement reshaping the financial industry.”
The trends driving the adoption of open banking include increasing regulatory mandates, technological advances, and consumers’ growing demand for control of their finances. Growing demand from consumers to take control of their financial data and access innovative services has sparked some urgency around businesses adopting open banking initiatives.
The report provides a global overview, highlighting current approaches and regulatory trends in different regions. Notably, Europe is leading the way in open banking adoption, with PSD3 set to help unify the EEA market and potentially kickstart a globally adopted Application Programming Interface (API) standard.
Key takeaways from the report include the need for robust data security and privacy measures, the benefits of strategic partnerships with fintechs and other institutions, and the importance of operational readiness to support open banking initiatives. It also sheds light on the significance of APIs as technological advances have made open banking more feasible and effective in some jurisdictions, allowing businesses to capitalize on new opportunities.
Vixio is a regulatory technology provider for the payments and gambling industries. It equips brands with actionable regulatory intelligence in more than 180 jurisdictions. Vixio’s GamblingCompliance and PaymentsCompliance platforms assist organizations in making strategic decisions, discovering new markets, and minimizing compliance risk by taking the heavy lift out of regulatory monitoring.
