Issue link: https://recursos.axway.com/i/1321495
49 Open Banking APIs State of the Market Report 2020 still have the worldview where they still want to be the single provider offering all financial services to their customers. WHY OPEN BANKING? Open banking is a model in which banks open up functionalities so that third parties can provide new products and services to banking customers. In Europe and the UK, some parts of Asia and in Latin America, open banking has been introduced through regulations mandating that banks must allow key functionalities - including accounts information, payments, product catalogues and branch locations - to be exposed via Application Programming Interfaces (APIs). In the United States, Canada, Nigeria, and some other countries, banks and fintech networks are collaborating on their own to accelerate open banking for industry innovation. Generating these benefits from open banking requires banks to move to a platform thinking mindset. Simon Torrance, an Executive Working Group Member on Accelerating Digital Transformation at the World Economic Forum, says platform thinking "means leveraging the creativity and resources of third parties to create greater value for your customers and markets, rather than trying to serve customers only with your own products." 15 BANKS HAVE AVOIDED SOME EMERGING THREATS The digital economy has picked up pace over the past five years and more businesses of all types have introduced APIs to speed up innovation and connect with more partners. In this emerging platform FOR BANKS FOR FINTECH AND BROADER DIGITAL BUSINESSES FOR BANK CONSUMERS FOR THE UNDERSERVED Allows banks to recenter themselves in a new digital economy by applying innovative business models Enables the delivery and embedding of finance into broader supply chains that create new value propositions and meaningful customer experiences Fosters greater financial health by diversifying and personalizing the product and service range so that customers can get the value they want, when and where they want it Creates new entry opportunities to access financial services, build credit and generate financial health OPEN BANKING BENEFITS