In 2021, BSP released the Open Funding Framework providing the guidelines to enable open funding in the Philippines and setting the standard across Southeast Asia. The regulatory framework is aligned with the Bangko Sentral ng Pilipinas (BSP) Digital Payments Transformation Roadmap 2020-2023, which aims to strengthen customer preference for digital payments and promote more innovative and innovative digital financial services. reagents.
The framework highlights the central goals of open finance: greater competition in the financial services market, enabling more informed financial decisions for financial consumers and encouraging financial consumers to exercise greater control over their data and their finance.
Leading technology enablers in the financial services industry are providing comprehensive support to enable open finance in the Philippines, a pioneering initiative in the region. They advocate an open discussion about the technologies needed to create a vibrant open finance ecosystem and the ambitious goal of having bank-managed APIs that are secure and accessible to verified third parties.
Using Robotic Process Automation (RPA) to develop RPA-based APIs that accredited third parties can have secure access to could be transformative. In line with advanced open finance industries like the EU, US, and Australia, the use of RPA technology is both a necessary interim solution before bank-backed open APIs are released. provision by the thousands of financial institutions in the Philippines, and a necessary “fallback solution”. solution” to ensure choice for financial consumers when bank-managed APIs are offline, underperforming, or unavailable.
“The implementation of the BSP Open Finance Framework will potentially change the lives of Filipino consumers and bring us closer to holistic financial inclusion in the Philippines. Robotic process automation (RPA) with customer consent is the crucial technology we need to achieve this – by enabling the safe and secure use of RPA, we as an industry can collectively enable Filipinos to benefit from new and alternative financial products and services, with better quality and at an affordable cost, without compromising their financial consumer and data privacy rights,” emphasized Todd Schweitzer, CEO of Brankas, the leading technology company Southeast Asia Open Finance.
Evolve to use RPA-based APIs safely, legally, and securely while directly enabling financial inclusion
RPA-Based APIs: Unlocking the Potential of Open Finance is a white paper published by Brankas, FinScore, Finverse, and Smile API, with support from the recently formed Open Finance Committee of the FinTech Philippines Association. It shows how RPA-based APIs directly support and enable the goals of the BSP Open Finance Framework. They allow customers to securely access the online services of their bank or financial institution and are also easily used and trusted by customers worldwide and in the Philippines for credit scoring, reconciliation and accounting transactions, e-commerce payments and transfers to digital bank accounts.
The whitepaper explains how RPA-based APIs are the only readily available technology that can enable a fully inclusive fintech ecosystem and achieve financial inclusion. It also highlights how globally recognized and legal RPA-based APIs are around the world. In the UK, for example, the nine largest UK banks have adopted an open API standard with RPA-enabled APIs as essential fallback technology when bank-managed APIs are unavailable. In the meantime, in the United States, RPA continues to be the essential technology and is supported by the Consumer Financial Protection Bureau for the sharing and aggregation of consumer-authorized financial data. Further, he explains that RPA-based APIs are legal in the Philippines under applicable laws and are enabled by key policies under competition, consumer protection, and privacy laws. In particular, it implements the financial consumer’s data privacy rights of access and data portability.
While there are concerns and perceived risks around RPA technologies, an open, fact-based discussion between industry and regulators can enable an open finance industry that protects consumers, gives customers choice, and enables the next generation of open finance solutions.
The white paper “RPA-based APIs: Unlocking the Potential of Open Finance” downloadable via https://resources.brankas.com/rpa-white-paper
Brankas is the leading Open Finance technology provider in Southeast Asia. We provide API-based solutions, data and payment solutions for financial service providers (such as banks, lenders and e-wallets) and online businesses. Brankas partners with banks to build and manage their Open Finance infrastructure, producing APIs for real-time payments, identity and data, new account opening, remittances, and more. With Brankas’ secure Open Banking technology, online businesses, fintech companies and digital banks can use Brankas’ APIs to create new digital experiences for their users.
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