Platformable has released a new report on Open Banking, highlighting its rapid growth globally and demonstrating its increasing adoption among banks, financial institutions, and fintech companies. The “Q2 2024 Open Banking/Open Finance Quarterly Trends Report” shows a significant push in how financial services are leveraging open banking frameworks to offer customers more control over their data.
Expanding Open Banking Across the Globe
The report details a significant uptick in Open Banking adoption, with a notable rise in the number of products available that utilize the following:
- direct-from-bank account payments
- business capital solutions
- enhanced credit scoring methods
At least 987 products are now leveraging Open Banking for lending purposes worldwide, indicating the widespread acceptance and implementation of this technology.
New regulations are being introduced across various regions, including Europe, the UK, Brazil, Australia, and New Zealand, to further promote Open Banking initiatives. These regulations are expected to continue boosting innovation, with 43 countries now moving towards broader Open Finance frameworks to provide even greater data accessibility to customers.
The adoption of Open Banking has allowed financial institutions to explore new revenue streams through the sale of APIs and has enhanced their ability to offer more personalized and secure services. The report also highlights how banks are increasingly adopting identity verification services to ensure safer financial transactions.
