Issue link: https://go.axway.com/i/1137349
Conclusion This year's research, survey and interviews with banking executives all demonstrate that banks are beginning to take up the open banking opportunity. 2018 has seen a 73% growth rate in the number of open banking platforms worldwide, with the Asia Pacific region being one of the fastest growing regions. There are several geographic differences in the uptake of APIs: In Europe, payments and accounts information APIs (required under PSD2 regulation) are the main product categories, while in the U.S. and Canada, account information APIs are the most common, as banks strive to find more secure ways to allow their customers to use account information software without the risk of data scraping. Regulation and technical modernization programs are still at the forefront for why APIs are being introduced; but as new technology falls into place, lines of business are beginning to take ownership and consider the implications of opening banks as new ecosystems. However, there still seems a lack of strategy to guide banks in managing experiments and ecosystem rollouts. A Strategy-with-APIs and RISK approach can help banks test and build out ecosystems more methodically, learning from lessons as they go. Key to enabling open banking platforms, many banks have decided on internal governance processes and are putting into place processes to speed up and standardize internal API creation. New technologies and security systems are being tested with many moving from proof of concept to implementation. Now, the main challenge remains as ever: the regulatory environment is supportive. The technology is in place. Lines of business are on board. There is a fertile ground of third party providers to partner with, and customers are demanding new experiences and a wider range of digital and mobile products. But the key question is the same as in previous years: do banks have the stamina and willingness to take up the open banking opportunity? 32 STaTe Of The maRKeT RepORT 2018