Open Banking is a collaborative model in which financial data is shared between two or more unaffiliated parties via APIs in order to provide expanded capabilities to the marketplace. APIs have been used for decades in the United States to enable personal financial management software, display billing information on bank websites, and connect developers to payment networks like Visa and Mastercard. However, these connections have mostly been utilized to transmit information rather than move monetary balances.

The potential benefits of Open Banking:

• Improving customer experience
• Generating new revenue streams
• Targeting traditionally underserved communities, a long-term service approach
• Giving more control over personal account data
• Enabling a strong growth of data sharing include mobile wallet and fintech
• Improving digital agility
• Having a far better ability to make foresighted decisions for Financial organizations with more data and insights.