Issue link: https://go.axway.com/i/1321495
9 Open Banking APIs State of the Market Report 2020 OPEN BANKING APIs IN EUROPE & SCANDINAVIA BY PRODUCT CATEGORY, Q3 2020 (N=1048) Credit cards Bank product/ATM/Locations Data products Loyalty/rewards FX Trading Utilities Other Accounts Payments Identity (KYC and authentication) Credit scoring/loan pre-approvals 68 6 5 3 36 5 18 309 441 7 43 Number of products 107 PLATFORMS: All European and Scandinavian banks in the top 20 by market cap as at the end of Q2 2020 have open banking API platforms. PRODUCTS: While payments and account information APIs dominate in Europe in alignment with PSD2 requirements, there are a growing number of banks that are seeking to move beyond the essential and create new business models such as partnerships with fintech and banking-as-a-service offerings. SUMMARY In Europe, the Second Payments Services Directive (PSD2) required banks to offer a payment initiation API, however, in practice, this workflow needs to be coupled with a functionality that confirms the customer holds sufficient funds in their account to make the payment. Many banks released a Confirmation of Funds API in early 2020. This, alongside banks meeting PSD2 regulations to publish their open API platforms, accounted for the majority of European product growth in 2020. SUMMARY Europe & Scandinavia Open Banking Trends 2018 - 2020 GROWTH ON OPEN BANKING API PRODUCTS IN EUROPE & SCANDINAVIA, Q2 2019 - Q3 2020 Q2.19 Q4.19 Q1.20 Q2.20 Q3.20 1048 313 476 601 836 Number of products GROWTH IN OPEN BANKING API PLATFORMS IN EUROPE & SCANDINAVIA, Q2 2019 - Q3 2020 Q2.19 Q4.19 Q1.20 Q2.20 Q3.20 58 113 78 179 Number of platforms 262