The Impact of the Open Banking Implementation on the Development of the National FinTech Sector

Abstract

The subject of the study is the impact of the open banking implementation on the development of the national sector. The purpose of the study was to establish to what extent the open banking implementation influences the development of the national FinTech sector. The impact mechanism model is built as a matrix of the influence of the open banking structural components on the structural elements of the Fintech sector development. The chosen structural components of the open banking are provision by banks of information on customer accounts to information service providers, fulfilment of customer orders by banks when payment service providers initiate payments, providing information and payment service providers with open interfaces (Open API) to information systems of banks. According to an analysis of market trends and the regulator’s plans for technology and infrastructure development, the structural components of the national FinTech sector development are classified into three groups (product development, technology development and infrastructure development). The values of the impact matrix were obtained by the method of expert estimation. Based on the research findings, it was established that the biggest influence of the open banking on the FinTech national sector development can be expected in the following segments of the industry: development of product lines — Personal Finance Management, neo-banks, payments; technology development — mobile technologies, biometric identification and open interfaces; infrastructure development — the remote identification platform and the fast payment platform. It is concluded that the open banking elements have a positive impact on the development of the Fintech sector. However, the quantitative estimation of the impact effect is lacking statistical data and a statistical data collection system. Therefore, to obtain more accurate estimates, it is necessary to form a system for collecting relevant statistical information.