A financial service called "open banking" allows for the electronic sharing of financial data. Additionally, open banking services use application programming interfaces (APIs) to perform a secure financial data transfer. Banks and outside service providers also communicate financial data back and forth. Customers' transaction histories and patterns, which are collected by third-party service providers, are secured by an open API, making it simple to access publicly available data, such as a bank's product offerings. In order to improve the user experience related to the usage of financial services, innovative applications are developed using the financial information obtained for a customer. One of the key elements supporting the development of the open banking sector is a rise in the adoption of new wave applications and services. The open banking sector also needs to expand in order to be supported by an increase in customer engagement and active banking clients. All parties participating in the financial services sector, including banks, enterprises, FinTech, and innovators, can gain from an open banking platform's many benefits.
Due to the increase in usage and adoption of application programming interfaces (APIs) by consumers to carry out payment procedures, the COVID-19 pandemic has a substantial impact on the open banking sector. Thanks to market-wide technical developments, open banking is expanding rapidly. Additionally, to support the open banking platforms, banks and the fintech sector are offering their clients capabilities in APIs that are acceptable and beneficial. In turn, during the current global health crisis, this has turned into one of the main development causes for the open banking sector.
Open Banking Market Key Players:
The market study provides market data by competitive landscape, revenue analysis, market segments and detailed analysis of key market players such as; Banco Bilbao Vizcaya Argentaria, S.A., Crédit Agricole, DemystData, Ltd., Finleap connect, Finastra, FormFree Holdings Corporation, Jack Henry & Associates, Inc., Mambu., Mineral Tree, Inc., NCR Corporation.
Global Open Banking Market Segmentation:
By Services: Based on the Services, Global Open Banking Market is segmented as; Banking & Capital Markets, Payments, Digital Currencies, Value Added Services.
By Deployment: Based on the Deployment, Global Open Banking Market is segmented as; Cloud, On-premise.
By Distribution Channel: Based on the Distribution Channel, Global Open Banking Market is segmented as; Bank Channels, App Markets, Distributors, Aggregators.
By Region: The global open banking market report covers Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, the United Kingdom, and the United States. In the year of Covid, Europe will account for the bulk of the open banking market. This is due to the expansion of open banking platforms and the requirement to raise the level of security for online payments. A further aspect promoting the expansion of the business in this region is the government's directives for banks to be required to open APIs.
This study also encompasses various drivers and restraining factors of this market for the forecast period. Various growth opportunities are also discussed in the report.