This document summarizes the results of a survey on open banking APIs. It finds that over 60% of banks plan to launch an API initiative in 2015. Key requirements for banking APIs include support for internal and third party access, management and governance, REST interfaces, open data standards, and open standards. Rapid prototyping, improved customer experience, and enhancing reputation are seen as the top benefits. Cultural and security concerns are the main barriers hindering API progress. Success stories from other banks, education, and support from top management are needed to accelerate adoption of APIs.

1. Simon Redfern, CEO!
simon@tesobe.com!
Understanding
APIs in Banking

2. Background
• What is the Open Bank Project"
• Results of Open Banking API Survey"
• @simsysims"
• @iChaib"
Agenda
@iChaib"

3. The Open Bank Project
The Open Bank Project is an open
source API and App Store for banks !
and a developer community around.!
1/ Standard
Banking API!
2/ Developer !
Community!
3/ App Store!

4. How it works
OBP API!
Bank’s Legacy IT System!
Bank’s!
Customers!
Provided by
their bank! OBP App store!
3
2
1
(On different
platforms)!
Use innovative
financial apps!
Card-linked offers!
Cash management!
Accounting!ERP! KYC!
CRM!
Crowdfunding!
jQuery!
Savings!
Gamification!Data!
Visualisation!
Advisory! PFM!
AML!
Anti fraud!Regulation!
Financial
Institution’s data
center / cloud /
appliance
Operated by the bank

5. Background
Open Banking Research together with Bank Innovation

6. Distribution of results
133 Responses in one month
Universal
Bank
3%
Retail
Bank
38%
Corporate
Bank
14%
Other
Financial
ins;tu;ons
6%
Fintech-­‐startups
23%
Payment
processors
6%
Other
10%
PER
ORGANISATION
Africa
5%
APAC
9%
Europe
58%
La;n
America
5%
North
America
21%
Other
2%
PER
COUNTRY

7. Strong appetite for APIs
63% banks either have launched an API initiative or will launch it in 2015

8. Required for Banking APIs
Consensus on Open APIs?
Internal
Access!
3rd
Party!
Access!
Mgmt!
&!
Gov!
REST!
Interface!
Open
Data!
Open!
Standards!
88% - required ! 56% - required ! 77% - required !
60% - required ! 57% - required ! 60% - required !

9. Expected Benefits
1) Rapid prototyping, 2) Improved customer experience and 3) Reputation
- seen as key benefits of an API initiative
25%
20%
16%
18%
11%
11%
4%
17%
32%
37%
39%
28%
34%
27%
25%
11%
43%
44%
46%
54%
54%
62%
71%
72%
0%
20%
40%
60%
80%
100%
120%
Compliance
Cost-­‐Reduc2on
Be4er security
Be4er data control and monitoring
New revenue streams
Reputa2onal -­‐ seen to be innova2ve
Improved customer service
Rapid-­‐prototyping of new services
What API benefits are most important to you?!
Not
at
all
important
or
slightly
important
Important
Very
Important
or
Extremely
important

10. What hinders API initiatives?
Culture & security concerns halt API progress
What hinders the emergence of an API initiative in your bank?!
Corporate Culture / Bureaucracy!
Security / Privacy Concerns!
Lack of talent / know-how!
Budget!
Technology!
Regulation!
Other!

11. Closing the gap
Success stories, education and support from upper management are
critical to accelerate API initiatives
Success !
Stories!
From other banks!
Regulation!
Hackathons!POC!
Business Case!
Pressure from competitors!
Education!
Standardisation!
Top management support!
Proven Technology!
What might accelerate an API initiative in your bank?!

12. Banks can install
our Scala
implementation /
implement the
standard
Dual licensed under AGPL and
commercial licenses
https://github.com/OpenBankProject/
OBP-API/wiki

13. Simon Redfern, CEO!
simon@tesobe.com"
@simsysims
"
www.openbankproject.com"
Thank You!