24 October 2022

EBF: Open Finance must be approached as part of the European data economy to drive innovation and new consumer experiences

Trust, a level playing field, incentives for all actors, lessons learned from PSD2 and cross-sectoral data-sharing must all be considered for Open Finance, so as to create real opportunities for consumers and businesses.

Following the publication of the report on Open Finance by the Expert Group on the European Financial Data Space, the European Banking Federation (EBF) stressed the importance of approaching Open Finance as part of the broader European Commission’s initiatives on a data-driven economy. To ensure it delivers new customer experiences and stimulates innovation, the EBF urges the European Commission to take into account the following considerations for a future Open Finance Framework:

• Facilitate voluntary data sharing based on market needs so that data sharing takes place where needed by consumers of financial services.
• Embed trust and clear consumer protection provisions at the core of the framework.
• Provide tangible incentives for all market actors to share, access and reuse customer data.
• Address technical obstacles — such as a lack of standardisation — through market-driven efforts.
• Incorporate cross-sectoral data sharing as an indispensable feature to drive innovation and provide new value-added services.

“Trust, a level playing field, incentives for all actors, lessons learned from PSD2 and cross-sectoral data-sharing must all be considered for Open Finance, so as to create real opportunities for consumers and businesses. Otherwise, we risk losing out on data-driven innovation and a range of completely new customer experiences. As the European Commission continues to explore the right set-up for an open finance framework, we stand ready to provide expertise and continue the dialogue with policymakers to make sure it delivers its intended purpose, mitigates the risks and creates value for financial services customers”, said Alexandra Maniati, EBF Senior Director, Innovation & Cybersecurity.

Read more about EBF on the data economy on: DATA – EBF

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