FUTURE OF OPEN BANKINGINDUSTRY OBSERVATIONS AND TRENDS

The key global initiatives similar to PSD2 and CMA Open Banking can be summarised as follows

OPEN BANKING IS GAINING TRACTION ACROSS THE WORLD

NORTH AMERICAPSD2 is being watched closely. If successful, the feeling is that regulation may follow in North America.

Open Banking Developer Portals launched by several banks.

LATAMRetail banking propositions to allow customers to access accounts through social media.

ASIASeveral Open Banking related GovTech initiatives in India, China, Singapore linked to customer authentication and KYC.

Singapore regulator issued a “Finance-as-a-Service” playbook to boost Open API adoption among FIs and Fintech.

AUSTRALIAThe focus here is still very much on immediate payments but awareness on Open Banking and APIs increases among Australian Banks.

NAB and CBA among the first banks globally to release developer portals for Open APIs.

AFRICAPSD2 is also being watched closely. If successful, the feeling is that South African regulation may follow. API Banking use cases for financial inclusion gaining traction.

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ACROSS EUROPE A VARIED AND FRAGMENTED APPROACH IS EMERGINGKey European geographies are exhibiting quite opposite reaction and opinions around PSD2

UKI and Nordics are the most advanced markets in adoption of regulation

Emergence of Berlin Group in Germany who are attempting to do an IE equivalent

Southern European countries are quietly confident that PSD2 will be deferred and are adopting a “wait and see” approach

Leading mainstream banks and non banks across Europe are promoting aggregation propositions

Nordics is only region to date where non-FS clients such as large retailers are being proactive to the opportunities created by PSD2

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COMPETITION IS EXPERIMENTING

WITHNEW USE CASES

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BANKING USE CASES

• Multi-bank account view• Data insights (PFM)• Cross-bank money movement

PERSONAL ACCOUNT AGGREGATION CORPORATE CASH MANAGEMENT

• Multi-bank account view• Cash optimisation insights/AI/virtual

accounts• Cross-bank sweeping and pooling

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• Proof of funds/Income• Proof of affordability/spending• Digitised AIP

MORTGAGE APPLICATION PROCESSING

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RETAIL USE CASES

BALANCE DISPLAY PAYMENTS IN-STORE APP

• Real-time balance • Real-time credit transfer• Refunds and returns• Recurring payments

• Proof of income• Proof of affordability/spending• Point-of-sale loan

SOFT CREDIT CHECK

• Real-time balance• Payments• Sales finance

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FINTECH USE CASES

B2B B2CP

P P

P P

P P

P P

P

P P

P P

B2B B2C

P

P

P

P

P

P

P P

B2CB2B

P

P

P

P P

P

P

B2CB2B

P

P

P

P

B2CB2B

P

P

P

P

P

P

P P

PAYMENT INITIATION ACCOUNT AGGREGATION PRODUCT COMPARISON DATA AGGREGATIONPRODUCT SWITCHING

• Credit transfers• Cards-on-file

• Multi-bank account view• Data insights (PFM)

• Product data comparison

• Product data comparison

• Data insights

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BIG TECH USE CASES

REAL-TIME BALANCE DISPLAY

• Real-time balance

“always on balance enquiry”

£538.06

MOBILE WALLETS

• Real-time balance• Real-time credit transfers• Two-factor authentication

“data capture and monetisation”“transaction ownership and fees”

“make in-app payments”“P2P payments”“front of phone”

MERCHANT ACCEPTANCE

“marketplace payment services”“collection on-behalf of sellers”

“accept in-app payments”“P2B payments”

• Real-time balance• Real-time credit transfers• Two-factor authentication

WORKING CAPITAL LOANS(SME AND MICRO ENTERPRISES)

“increase loan book”“lend you more, on better

terms”

• Proof of funds• Proof of turnover• Proof of cashflow

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BANKING AS A LIVING SERVICE

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BANKING AS LIVING SERVICEImagine a world where a customer’s bank supports them in all of their DIGITAL LIVES

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CUSTOMERS

Living Service

TRANSPORT

TRAVELUTILITIES

AUTOMOTIVERETAIL

TELECOM

MEDIA

Customers don’t need to go to a separate channel for their banking – rather banking is integrated into all their daily interactions

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FOR MORE INFORMATION

Amit Mallick

Open Banking / API LeadAccenture DigitalE: amit.mallick@accenture.com

ABOUT ACCENTURE

ABOUT ACCENTURE

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