Description
Countries Covered: Australia, Brazil, Canada, Germany, India, Mexico, Russia, South Korea, UK, USA.
Pages: 95
Publication Date: 28/02/2023
Questions Covered in the report:
- What are the emerging trends that are changing the global open banking market?
- What is the forecasted transaction value of open banking enabled payments in 2026?
- What are the main objectives of organizations for introducing open banking?
- What was the transaction value of payments via open banking in South Korea in 2021?
Key Findings:
The Open Banking market is forecast to see significant growth between 2019 to 2026: new yStats.com report.
Open banking is being embraced successfully by several regions across the globe, with Europe leading the way
The rise in digital readiness and consumer awareness of open banking has encouraged regulators worldwide to rapidly implement the initiative. Thus, the market size of open banking is forecasted to witness a robust double-digit CAGR between 2019 and 2026. The transaction value of payments facilitated by open banking is also expected to see significant growth, with forecasted values reaching billions of euros by 2026. Additionally, the total number of open banking application programming interface (API) products has witnessed rapid growth in just one year, from 2020 to 2021. Most banks globally are already making use of open API specifications to describe their APIs as of 2021. A high percentage of enterprises worldwide were also seen adopting APIs in 2021, with half of B2B collaborations coming via API in the same time period, as stated in the new yStats.com report.
Although the implementation of open banking across regions has been successful, the growth pattern of the concept differs, with Europe being the front-runner in the introduction and development of open banking. In 2021, Europe ranked first, having the highest number of open banking products and platforms compared to other regions, as mentioned in the new yStats.com report. The UK, Germany, and Sweden were the most developed countries in terms of the maturity of open banking in 2022. Nevertheless, other countries, such as France, Lithuania, and the Netherlands, are making improvements to their API standards, focusing on consumer awareness, regulatory framework, and monitoring and enforcement of open banking. Furthermore, the share of executives with a positive attitude towards open banking has also notably increased from 2019 to 2021. For the majority of executives in Europe, open banking marked the revolution of the banking system, with nearly three-quarters already invested or planning to invest in the technology in the next 12 months as of March 2022.
Trends such as variable recurring payments, super apps, and global open banking platforms are likely to transform the open banking ecosystem
The open banking ecosystem is growing rapidly and is estimated to be soon dominated by emerging consumer trends such as variable recurring payments, super apps, marketplaces, and global open banking platforms. Open banking products and services still do not provide global coverage, and as the market grows, established players are expected to offer global or worldwide open banking platforms, as mentioned in the new yStats.com report. With the rise of instant and frictionless payments, several open banking players are now demanding variable recurring payments, which enable fund transfer of variable amounts between accounts of the merchants. Furthermore, super apps, marketplaces, and collaborations are some of the other trends that will dominate the open banking market.
