WHITEPAPER

How to Develop an API

Strategy for Open Banking

The Banking CXO Series

TABLE OF CONTENTS

Open Banking has Changed Everything 3

Open Banking Around the World 4

Advantages of Open Banking 5

Options for Banks 9

All Roads Lead to APIs 12

Benefits of an API Strategy in Open Banking 14

Preparing for Open Banking Success 15

Common Challenges for Banks 19

Fiorano Open Banking 23

Fiorano Unified Banking API Platform 26

Conclusion 28

About Fiorano 29
OPEN BANKING HAS CHANGED EVERYTHING
The banking world is changing at break-
neck speed; in many cases tried and
tested business and operating B2C
banking models are being flipped on its
head.
The onslaught of nimble, agile Fintechs to
win market-share by offering time-
sensitive and contextually relevant
products and services to traditional bank
user-bases is relentless. To make things
worse, Fintechs are using Open Banking
APIs provided by Banks to build the very
propositions used to win customers.
The world is continuing to move away
from overbearing centralized systems to
data-driven collaborative ones. Open
Banking provides the perfect hybrid
between the reliability and
trustworthiness of a big bank and the
personalization, innovation, and agility of
a start-up. It is forcing incumbent banks
to relook at their roles and value
propositions, which have not changed for
decades.
We all know Open Banking is disrupting
financial services, but what has taken
banks by surprise is the pace of growth
and sheer scale of investment going into
Open Banking powered Fintechs they
are now competing with. We think it is
important that Banks fight back; in
most cases, they are in a better
position to develop more innovative
products and services based on Open
Banking data. Banks should view Open
Banking as a driver to dig-deep into its
systems and data goldmines and
innovate. Part of this includes
introducing well thought-out and non-
siloed (i.e., not dependent on a core
banking ISV) API programs at the heart
of their technology architectures and
using Open Banking as a springboard
to commence full-scale API-
capabilities, allowing banks to create
relevant, data-centric products and
services.
In this paper, we expand on specific
steps banks should consider when
developing an API strategy and
provide an outline of what a target
Digital API Banking architecture should
look like, supporting Open Banking and
beyond.
According to Vantage Market
research, the worldwide $37 Billion
Open Banking market is expected to
grow at a CAGR of 23.98% through
2022-2028. Do not get left behind!
Biju Suresh Babu,
Managing Director – Banking & Financial
Services, Fiorano
3
OPEN BANKING AROUND THE WORLD

Open Banking started as a well-contained and regional regulation in Europe’s

PSD2, which went live in 2018. Interpreted and enhanced significantly by the UKs
OBIE, Open Banking took on a different life and is now on a trajectory as an
unstoppable force in banking that is being adopted globally either because of
regulation, or market-pressures for better banking and financial services.

1 Source: Q2 2022 Konsentus Third Party Provider Open Banking Tracker

4
ADVANTAGES OF OPEN BANKING

For consumers

Enhanced personalization
Open banking has demonstrated tremendous potential for hyper-personalization
of product and service offers, supported by aggregation of data from multiple
data sources, enabling tailored experiences according to customer-specific
scenarios.

As an example, with Open Banking, consumers can access different financial

services across providers from a single platform. They can get better offers with
greater transparency and view their current 360 degree financial position from a
single app, on any device.

Security and transparency

With the implementation of open banking, customers are in control of their data.
In most countries where Open Banking is a regulatory mandate, one of the first
impositions by regulators is a ban on the widely prevalent and extremely unsafe
practice of screen-scraping. With Open Banking, data is shared only under explicit
time-bound consent conditions, currently based on a 90-day consent window.
Management and revocation of this consent is always in the control of end users.
In addition, Open Banking is built on token-based models for data exchange
which govern the sharing of data with trusted third parties.

Convenience
Open banking offers customers composite financial products, utilizing cross-
organization data and collaborations to deliver more-value and quantity of
relevant products and services, across end use-cases (e.g., Insurance data
sharing, BNPL etc.).

5
Better decision-making
Customers can choose the best financial products suited for them from various
Open Banking data powered choices and make data-driven, informed decisions.
Consumers can get further opportunities to better manage their finances through
innovative products that provide visibility, control, and timely financial advice on
optimizing the use of their finances.

Financial Inclusion
Open Banking has been established as a powerful tool to improve financial
inclusion, based on its underlying principle of secure, customer consented data
sharing.

6
FOR BANKS

Improved Engagement

Open banking APIs can help banks improve customer engagement and securely
meet the changing demands of existing and prospective customers. Banks can
use innovative models from open banking to moving beyond traditional banking,
to retain existing customers and convert prospective customers looking for
alternative options to manage their financial well-being.

Open Banking powered integration and connectivity encourages customers to

engage with their financial data in innovative ways that add more value to the
relationship with banks, be that their credit scores or any other service.

Speed to Market

Financial Institutions will be able to spot many new market opportunities and
respond faster, gaining time to market advantages. Information availability can
create, and market bundled offerings that are difficult for independent providers
to match.

Innovation

Third-party providers can develop innovative financial solutions by collaborating

with banking and financial institutions. With Open APIs, data availability increases
across the banking ecosystem. Allowing a free flow of data will lead to the growth
of third-party solutions in various sub-sectors such as lending, wealth
management, personal finance management, and Robo-advisory, besides core
banking products.

Customer Stickiness

Banks who innovate based on Open Banking data will be able to increase
stickiness with customers, in both B2C (retail) and B2B (corporate) scenarios,
though B2B Open Banking use-cases are more related to use-cases such as
short-term lending and Trade Finance etc.

7
Risk Management

Open banking can significantly improve risk management, compliance, and

regulatory reporting. Open banking can reduce compliance costs by streamlining
the onboarding process by leveraging customer data.

Market Expansion

Banks that are facing slow growth in their traditional businesses have been
looking to identify and develop new revenue streams. Open banking APIs expand
possibilities for growth, either by providing standard services to new customers or
by creating and distributing new product offerings.

8
OPTIONS FOR BANKS
Open banking helps create innovative business models. Using APIs, banks can
transform themselves from a business to a platform, allowing the ability to
multiply value creation by enabling business ecosystems within and outside the
enterprise. While every bank chooses its own path, there are 4 broad options that
banks can adopt which are common across B2C (bank > customer) and B2B
(bank > corporate) scenarios.

Traditional Banking:

Customers

Product distribution &

customer engagement
exclusively with Bank.

Channels

Product lines

Core systems

Traditional Banking

9
 Comply
Businesses expose selected (often
mandatory) services and data
through APIs to help the ecosystem
develop new service offerings.
Normally relevant where Open
Banking regulations exist (e.g., UK,
Europe, Canada, Bahrain etc.)
Compete
Turn the tables. Banks consume
Open Banking data from other
financial institutions, like a fintech
would. Businesses can use APIs to
access third-party services and
data, empowering themselves to
develop new offerings in their
bouquet of services.

Customers Customers

Product distribution &

customer engagement
Fintechs / Fintechs /
exclusively with Bank.
TPPS TPPS

Channels Channels
Open Open
Banking Banking
APIs Product APIs
Product
lines lines
Customer Intelligence
based on OB data.

OB Core
Core systems Data systems

Bank as
Traditional Banking AISP / PISP

Consented
Transactions
data from
other banks &
accounts

10
 Collaborate
As Open data sharing extends its
footprint to other sectors, Open
Banking changes to Open
Economies, and offers joined-up
propositions built on data-sharing
across sectors. Examples include
insurance, pensions, healthcare,
and utilities.
Platform-play
In 2020, market capitalization of the
top 4 payment companies overtook
that of the big 6 banks on Wall
Street. Banks can follow a platform-
approach built around unbundling
and re-assembling products and
services through Open Platforms.
These platform plays can take the
shape of:
API Marketplace
Financial services hubs
Aggregated data APIs
Banking as a Service
Embedded Banking / Finance

Customers Customers

Other bank / fintech products & services

Fintechs / Fintechs / Fintechs /
TPPS TPPS TPPS

Fintechs /
TPPS
products & services
Complementary

Channels Channels
Open
Banking
Product APIs
Product
lines lines OB APIs

Other bank
APIs products
OB Core
Data systems Core systems

Bank as
Collaborator Bank as Marketplace

Consented
Transactions
data from
other banks &
accounts

11
ALL ROADS LEAD TO APIS
Whichever route you choose, one indisputable fact is that APIs are the channel for
all, are everywhere today, and without doubt have become omnipresent in
financial services.

APIs are the digital glue of modern banking, however while the number of APIs
used in banking is growing exponentially, these are not necessarily by banks
themselves.

Examples of APIs in Banking:

BNPL
Open Banking
JP Morgan (embedded
Payments APIs
APIs)

Open Banking is Banks globally have BNPL is a good

fundamentally built on
APIs, be that
mandatory Account
Information / Payment
Initiation APIs or others
such as Confirmation
of Payee or Variable
Recurring Payment
APIs.
progressed example of product
considerably on their APIs embedded in a
API journeys, with 3rd party check-out
many already process.
adopting back-to-
front capabilities, and
expanding to third
party APIs.

APIs deliver significant advantages to banks, specifically for:

Reducing IT Enabling Enabling Partners Complying with Driving Innovation

Complexity Agility Regulatory
Requirements
11

12
It is high time that banks, especially those that rely on siloed vendor applications,
get a grip on their own API strategy. The API economy is disruptive, and those who
do not adapt to new, API powered business models will lose any competitive
advantages and get left behind.

While there is no doubt about the role APIs will play in driving the future of
banking, the unfortunate reality is that even today, many banks continue to rely
on a core-vendor centric API solution and do not have a well thought out API
strategy of their own. From the 2022 Cornerstone Advisors report, 33% of banks
had just deployed a core-vendors API solution and a further 19% do not have their
own API strategy.

API Approaches in Mid-Size Financial Institutions (2022 Cornerstone Advisors):

What is the status of your institution's API strategy?

(select all that apply)

Deployed core vendor's API solution

33%
We don't have an API strategy 19%

Deployed a third-party API solution

14%
(from one vendor)

Evaluating core vendor's API solution 14%

Deployed multiple third-party API solution 11%

Evaluating third-party API solution 8%

2 Source: Cornerstone advisors survey of 200 U.S. based community bank and cfedit union executives, Q4 2021

Further, only 23% of executives said they are ‘very confident’ in their core vendors
approach to APIs. This is unsurprising since to gain a competitive benefit from APIs,
banks must think about their overall digital and API strategy as a whole and not
siloed strategies for individual projects, be that Open Banking or others.

13
BENEFITS OF AN API STRATEGY IN OPEN
BANKING

Enhanced Digital Agility

Customer lifetime value is increased by improving customer experiences. This can

be done by utilizing data internally to make informed decisions that cater to
customer demands. A mature digital infrastructure is required to enable
data-driven decision making via an API-based microservices approach.

Additional Revenue Streams

The hard work involved in making the necessary internal changes to adopt Open
Banking can be leveraged to generate new revenue streams by creating API
products. API products give corporate customers and partners freedom to utilize
your bank’s assets with the ability to build customizations as per their
requirements.

Collaborative Capabilities

Open Banking gives third parties access to your customer data, but why stop
there? You can build deeper relationships with your third-party service providers
by offering extra assistance such as development services, support staff or
additional functionalities. This enables your bank to create distinct value
propositions to entice new customers.

14
PREPARING FOR OPEN BANKING SUCCESS

The global open banking market is expected to grow from $15.13 billion in 2021 to
$19.14 billion in 2022 at a compound annual growth rate (CAGR) of 26.5%, and
further to $48.13 billion in 2026 according to forecasts from Globenewswire.

Despite these promising opportunities, traditional banks have been slow to adopt
Open Banking, or even a proper API strategy, often doing the bare minimum for
compliance, and not considering how a bank can leverage Open Banking for
competitive differentiation such as building data management, analytics, and
agile partnerships capabilities centered around customer value.

Some essential things banks should consider when preparing for Open Banking
success include:

Thinking like a Fintech

Agile. Cloud-first. API-first: Unlike traditional banks that have been built-up
around monolithic, closed, and proprietary systems, predominantly not API or
cloud-ready, and operating in batch-modes, Fintechs are data-first and
extremely focussed on the consumer experience, convenience, and data-based
value propositions, terms not common in traditional banking.

Leverage partnerships: Banks that are used to finding all the answers internally
are realizing they can offer go to market with new products and services when
collaborating with ecosystem partners through APIs.

Data-centricity: Hyper personalization is high on the agenda for next

generational financial services, often based on contextual relevance, purchase
patterns and intent data. Adapting to be able to thrive in the new-normal requires
bank product and strategy teams to fundamentally flip traditional thinking on its
head and promote new products and services to customer chosen channels as
APIs.

15
Data Custodianship

Data is a cross-functional asset whose value will increase over time, and banks
must manage it efficiently through robust frameworks for collecting, sorting,
integrating, and maintaining data, including custodianship, consent, and privacy
considerations. From an Open Banking standpoint, banks must invest in data
management and intelligence capabilities to generate actionable insights from it.

It is important however, that banks start considering APIs as integral to their

digital banking imperatives, and critically evaluate their API strategies as
delivering monetization benefits above and beyond what Open Banking by itself,
or a core-vendor solution can deliver.

Building an API Competency

Effective API Management for Banks is built on a mindset of standardization and

being API-first, bringing together elements of technology and governance for
efficient development, optimization, and API-ecosystem management as part of
your API product and services strategy.

While based on Open Banking data it is now easy to develop contextual

intelligence and model new propositions based on intent data, APIs provide the
framework to extend that intelligence and value ubiquitously across development
of new products and services, based on customer requirements, context,
customer life-stages and needs.

16
Sustainable and non-siloed API ecosystems and competencies are built on the
following key principles:

Product and Service MVPs as APIs: API first. Think beyond legacy API models
of internal vs. external APIs, public vs. Pvt., and have your business users
change their fundamental thinking to be API-first and around business
value. Start building new PoCs and MVPs as APIs.

Fail Fast: Discover > Build > Run > Socialize APIs: The Fail-fast philosophy
takes an iterative-approach to developing new ideas, based on the premise
of getting feedback on Minimum Viable Products early to validate or
invalidate them. In today’s world where the lines between banks and
technology companies is blurring, strong API development capabilities and
a similar approach towards APIs are critical. Fiorano’s cloud-native and
high-productivity lead model and visual tooling complements this well,
allowing API testing and iteration to be an integral part of the Fail Fast
process.

Secure & Scale: Multiple principles, security and data governance best
practices are to be followed to ensure the APIs you build and the APIs you
use are secure, reliable, and available, spanning content-integrity, data-
integrity and IAM-centric authentication and authorization, which offers
separation of concerns based on zero-trust, least-privilege principles. It is
important that your chosen API platform supports standards-based models
for securing APIs and their contents based on industry models including FAPI
(OpenID), OAuth2 & FIDO2 for Open Banking. And beyond it for new models
around Digital, programmable money, CBDCs, DLT and Web3.

Operationalize and Govern: Your API platform should also support proper
governance of your APIs, at a minimum covering centralization,
discoverability, API contracts, re-usability, automation, tracking and
deprecation at both project / programme levels.

Creating a proper API architectural model: It is important that Banks stop

looking at API strategies in an isolated and siloed manner and introduce a
holistic API architecture with distinct internal and external API capabilities.
The example below shows one such model for consideration, that delivers
both immediate short-term, project-specific API deliverables as well as a
long-term, sustainable architecture:

17
 3rd Party Channels

Customers Fintechs / TPPs

Fiorano API Management
(External/Public)

Developer API External API API Metering API

Portal Sandbox Gateway & Monitoring Security

Bank-owned Bank Controlled

applications Channels
Fiorano API
Management:
Partner APIs
API Gateway Open
APIs
&
Commercial
APIs
API Developer
studio
API Management
API Metering and
Monitoring
Fiorano API Management

API Monetisation
(Internal/Public)

Developer Portal Developer API Internal API API Metering API API
Portal Sandbox Gateway & Monitoring Security Composition
API Sandbox

Core Functional APIs/

APIs Composite APIs/
BIAN APIs

Core
Systems

Banking Payements
Core

A B

18
COMMON CHALLENGES FOR BANKS

So, you’ve decided on the role your bank wants to play in Open Banking, you’ve
worked out your API strategy and have started to build and deploy your Open
Banking APIs. That’s amazing!

We thought it would be worth covering some common underlying challenges

banks face across Open Banking ecosystems.

Ignoring the business change impact

Minimum for compliance: In countries where there is an Open Banking mandate,

banks faced with deadlines often make the mistake of not harnessing
opportunities, ignoring the many benefits they can realize as an Open Banking API
consumer, instead focusing on the bare minimum for compliance. This strategy
leaves the bank wide open for disruption and disintermediation by AISP and PISP
third party providers who are building their-own innovative propositions based on
your data.

Commoditization risks: Open APIs eliminate many barriers to switching accounts

and comparing quotes from multiple financial providers. The convenience of
digital aggregators offering quick comparison can lead to customer migration
and a fall in profits.

Paving the way for competition: All over the world, financial services are
continuing to be disrupted by pure digital entities (fintechs, neo banks and
digital-only banks) who are producing innovative and highly engaging financial
products and services built on real-time data models. Most large, leading banks
on the other hand are burdened with legacy systems and technical debt.
Modernization is slow and they face ongoing risks of increased customer churn
and dropping market share with more pressure on profit margins.

19
Mapping Open Banking to Strategic Vision

Open banking requires always-on, API-ready, and real-time transaction

processing capabilities end-to-end. Besides typical ongoing obligations for
maintaining data privacy and adhering to regulations, Open Banking adds to
bank RegTech stacks API management, Integration and Identity and Access
Management (IAM) components which are foundational to delivering Open
Banking.

Open Banking is a journey to new opportunities, and banks must map their
strategy with their long-term digital goals. Open banking is the right and often a
quick first-step to digital transformation initiatives. Banks will have to analyze the
depth they need to move and plan for technology and infrastructure to support
the business in products and growth, in the process reviewing their technical debt
and updating technology stacks to respond to opportunities with agility.
Open banking holds tremendous potential for innovation in the financial sector.
But it also has its challenges for banking institutions.

Back-Office Systems & Impact

When adopting Open Banking, banks often underestimate the impact on existing
back-office systems.

There are some critical elements to consider here. While Open Banking effectively
introduces one more channel for consumers to interact with banks (in this case
regulated 3rd parties) it also places considerable strain on existing systems.

Load: Open Banking escalates calls to Core Banking systems multi-X.

To illustrate, based on the latest statistics from YouGov UK, 28% of surveyed
customers in the UK access their bank account at least once-per-day, 33%
once-per-week, and 8% accessing only once-a-month.

The resulting total average number of calls to Core Banking per 100 user
per-month are:

{ 28 x 31 } + { 33 x 4 } + { 8 }
= 868 + 132 + 8 = 1008

20
 In comparison, with Open Banking, if the same 100 users gave AIS (account
information, read-only) access to 10 regulated fintechs each, based on 90-day
tenure long-lived consent (each fintech / TPP having the ability to request AIS APIs
4x times every-day), the resulting API calls to bank Core Banking systems would
instead, over the same 30-day period be:

{ 100 x 10 x 4 x 31 } = 124,000

1,008 calls (pre-Open Banking) per month vs. 124,000 calls per month with Open
Banking for the same 100 customers.

Standardized integration patterns: With data and records that power Open
Banking APIs most often being hidden away in monolithic (sometimes
proprietary) core-banking systems that are not API-ready, to effectively deliver
Open Banking, banks need to factor separate internal and external API
environments for private and public / open APIs. Without a standards-based
integration, microservices, and API pattern that banks can call-upon to isolate
and separate these layers and functions, further complications arise.

Cost of Compliance: With access to mandatory Open Banking APIs often being
free for regulated Fintechs / TPPs, the cost of compliance often lands 100% with
the bank / ASPSP.

21
Data Privacy & Consent

The word ‘Open’ in Open-APIs, Open Banking and Open Finance is sometimes
mistaken as denoting an inherent relaxation of security. The majority of Open
Banking APIs are in-fact safer than normal APIs and represents a safer way of
banking.

Standards: As Open Banking adoption spreads across the world, Financial-grade

API (FAPI) is fast emerging as a standard for secure JSON data schemas, security
and privacy protocols, application and user security controls implemented with
open standards (OAuth 2.0) and providers (OpenID Connect).

Screen Scraping: In parallel, where mandated, regulators / central banks are

normally quick to also establish deadlines to end the age-old and fundamentally
insecure model of screen-scraping that is currently prevalent.

Consent: One of the key pillars of Open Banking is customer consent. The
customer is always in control. With Open Banking, time-bound access (normally
90 days) for AIS information access is explicitly assigned to specific accounts, for
specific accounts, against time-stamped consent, under Strong Customer
Authentication (SCA).

22
FIORANO OPEN BANKING
Due to their dependence on legacy systems, banks must seek solutions that allow
them to reuse and repurpose existing technology stacks and seamlessly integrate
new components with their core-banking systems.

Fiorano’s Open Banking Accelerator is designed to sit alongside traditional core-

banking platforms. Fiorano Open Banking Accelerator consists of Fiorano API
Management for publishing of APIs for third-party consumption while the security
policies are used for securing of these APIs.

Fiorano’s Open Banking Accelerator includes prebuild microservices which

enables integration with various types of applications for SCA (Strong Customer
Authentication) and Core Banking.

Fiorano’s Open Banking Accelerator addresses all elements of Open Banking:

Open Banking Compliance Customers

Fast and easy Open Banking compliance

meeting multi-jurisdictional Open Fintech /
TPPS
Banking API specifications, including:
Open APIs
-PSD2 (Europe)
-OBIE (UK)
API Gateway

-BCB (Brazil)
Developer

SCA & TRA

OAuth 2.0
portal

-FDX (USA / Canada)

Includes a bundled Open Banking

Fiorano API Management
Developer Portal, Sandbox, API Gateway, (External)

and components for SCA and Consent

Consent Management & IAM
Management.

Core Banking APIs

Designed to work with any API-ready
Core Banking system. Open Banking API publishing

23
Core-Banking Integration

For banks that are not API-ready,

Functional /
Core system
Fiorano’s award-winning core-banking Composite /
APIs
BIAN APIs
integration platform delivers internal,
atomic AIS- and PIS-specific endpoints
on all Core Banking platforms, offering
start-to-finish Open Banking capabilities
Developer
when combined with our Open Banking API Gateway
portal
Accelerator.
Fiorano API Management
(Internal / Private)
Our integration technology is event-
based, asynchronous, scalable, and
designed to be Core Banking System Consent Management & IAM

agnostic, incorporating the ability to

connect to, isolate functions and extract Core Banking APIs

re-usable APIs from even legacy

systems including Mainframe / Z-series
& CICS.

Customers

Channels

Bank as Fintech Open Banking Product APIs

Fiorano’s API Management platform

additionally delivers cross-functional
digital-first capabilities to allow Banks to Open Banking Product
powered products lines
flip-their role from being a typical API
Customer intelligence
based on OB data.

publisher to a Fintech style

OB Core
API-consumer. Data systems

Bank as
AISP / PISP

Consented
Transactions
data from
other banks &
accounts

24
Our Compliance Accelerator Customers

supports both established models

of Open Banking API-publishing
Fintech /
currently in use: TPPS

Open APIs

API Gateway

Developer

SCA & TRA

OAuth 2.0
portal
Model 1:

Where there is no central, Fiorano API Management

(External)
country / region-specific
trust directory and no Consent Management & IAM
FAPI mandate.
Consent Single
DCR
Management Sign On
Trust established via.
eIDAS (e.g., PSD2).
Core Banking APIs

Open Banking API publishing

Customers

Fintech /
TPPS

Model 2:
Open APIs

With a FAPI certified

external IAM AUTH Server FAPI
MFA
Developer

SCA & TRA

OAuth 2.0

for Authentication,
portal
Gateway

Authorization & TPP Consent Mgt.,

PAR, JARM
API

Open Banking
Management. Country Directory

DCR &
Fiorano API Management SSA
(External)
Trust ecosystem
Single Sign
provided by centralized On

directory (e.g., OBIE UK,

BCB Brazil etc.) Bank IdP
Core Banking APIs

Open Banking API publishing External IAM

25
FIORANO UNIFIED BANKING API PLATFORM
Fiorano’s API platform allows a bank to quickly introduce the usage of APIs across
internal and external layers and provides a standards-based approach for banks
to incorporate APIs ubiquitously across the enterprise.

Fiorano’s API toolset delivers beyond the standard feature-sets required by a bank
to meet Open Banking and broader, Digital Banking imperatives.

Fiorano’s API platform allows a bank to quickly introduce the usage of APIs across
internal and external layers and provides a standards-based approach for banks
to incorporate APIs ubiquitously across the enterprise.

Fiorano’s API toolset delivers beyond the standard feature-sets required by a bank
to meet Open Banking and broader, Digital Banking imperatives.

26
It offers bank users with a core-ISV independent API tool kit

Visual design, development and debugging of APIs

Event-based so when combined with Fiorano’s integration studio, offers back-

to-front event-driven integration and orchestration capabilities

Standards based

No vendor lock-in

Full architecture for API Banking & Open Banking, with distinct environments for
internal APIs (e.g., composite BIAN APIs and atomic ISV specific APIs) and
external APIs (e.g., partner APIs, Open APIs) with monetization capabilities

27
CONCLUSION

Open Banking is here to stay; it has delivered countless end-user benefits in

all jurisdictions it has been released.

Banks and financial institutions need to first choose the role they want to
play and look at underlying core API capabilities in a long-term and strategic
manner (i.e., for a Bank, with Open Banking, bare minimum compliance
should not be the goal).

Open Banking presents an opportunity to put your bank on a proper API-first

operating model.

Do not make the mistake of taking a core-vendor-lead or siloed approach to

your organizational API Strategy. It needs to be open, non-siloed and
standards based.

Your API strategy (including Open Banking) needs to be central to improving

existing offerings through better partnerships and collaborations with third-
party providers.

Success will lie in building value propositions focusing on customer needs

and hyper-personalization.

Core ISV independent API Management capabilities such as from Fiorano

provide full-scale API capabilities for banks and financial institutions rapidly,
in a standards-based and scalable manner.

For more details visit www.fiorano.com/banking

1 https://www.konsentus.com/resources/the-world-of-open-banking/

2 https://www.crnrstone.com/whats-going-on-banking-2022

28
ABOUT FIORANO
Enabling Change at the Speed of Thought

A global leader in digital transformation, Fiorano provides solutions that connect

applications, devices, and data to streamline business processes, allowing companies
to scale, adopt emerging technologies, and improve customer experiences.

With its cloud native integration and application construction platform, Fiorano
enables companies to transform their legacy systems into modern digitally enabled
businesses.

Fiorano operates worldwide through its offices in 9 countries and network of partners
across the globe.

Drop us a line:
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