The Hong Kong Monetary Authority (HKMA) has launched the IADS Developer Platform, a collaborative venture with the Hong Kong Science and Technology Parks Corporation (HKSTP) aimed at fostering innovation between banks and technology firms.
This new platform, part of the Interbank Account Data Sharing (IADS) initiative, facilitates the creation of data-driven banking products and services using customer-consented data in a secure environment.
The IADS initiative introduces a framework for sharing bank account data across the banking sector, guided by strict rules and standards designed to ensure secure and efficient data exchange.
Twenty-eight banks are participating, covering a range of deposit account information—including account balances, availability, transaction records, and account statuses—across retail, corporate, and small-to-medium enterprise (SME) banking segments, subject to explicit customer consent.
A key focus of the IADS framework is maintaining customer privacy. Banks are required to obtain clear, customer-granted permission before any data is shared.
Customers also retain control over their data, with the ability to manage or revoke consent through online banking platforms, though procedures for this may differ slightly among banks.
The data-sharing facilitated by the IADS platform is expected to enhance operational efficiency and improve the customer experience in several ways.
For example, by streamlining processes like loan applications and enabling consolidated views of accounts across multiple banks, it aims to strengthen risk management and provide clients with a more cohesive banking experience.
At the recent IADS Showroom Day, HKMA demonstrated the platform’s practical applications, highlighting benefits such as expedited loan processing and enriched financial insights for users.
The IADS Developer Platform also provides a simulated environment where banks and tech companies can access testing account data and APIs from the participating banks, enabling the development of innovative banking solutions.
Through the IADS initiative, HKMA and HKSTP are positioning Hong Kong’s banking sector to better meet the growing demand for secure, integrated digital banking experiences, promoting further advancements in financial technology.