Featured Product

    HKMA Assesses Progress in Implementation of Open API Framework

    July 31, 2019

    HKMA published a statement on the implementation progress and the future plans for the open Application Programming Interface (API) framework for the banking sector in Hong Kong. The framework, which aims to facilitate the development and wider adoption of APIs by the banking sector, was introduced in July 2018. Open API framework has four phases: product information (Phase I), customer acquisition (Phase II), account information (Phase III), and transactions (Phase IV). Phase I was launched in January 2019 and Phase II is slated for launch in October 2019.

    Since the launch of Phase I in January 2019, the 20 participating retail banks made available more than 500 open APIs, offering access to information of a wide range of banking products and services. Websites and mobile applications are increasingly making use of these open APIs in the provision of various services such as foreign exchange rate information and deposit rate and loan product comparison. The 20 participating retail banks will further launch Phase II open APIs by the end of October 2019 as scheduled to process applications for banking products and services. However, as in Phase I, it may take time for new applications using these open APIs to gradually emerge in the market, depending on the complexity of the API design of individual banks.

    Phase III and IV open APIs involve access to customer data and processing of transactions; therefore, implementation of these phases is more complex and requires stronger control measures. After discussing with the relevant stakeholders, examining the relevant international practices, and considering the experience in implementation of Phases I and II of the framework, HKMA prefers to define a more detailed set of standards for Phases III and IV open APIs to facilitate secure and efficient implementation across industry, before setting out a concrete implementation timetable. By standardizing data definitions and transfer processes, accurate data aggregation can be achieved and customer trust in using the related services can be enhanced. To this end, HKMA will work with the industry on details of API standardization in the next few months and will then publish a set of technical standards in 2020. Meanwhile, some banks and third-party service providers are collaborating on a bilateral basis for early adoption of open APIs under Phases III and IV. HKMA will keep abreast of market responses and international developments of open APIs to review and refine the implementation plans as necessary.

     

    Keywords: Asia Pacific, Hong Kong, Banking, Open API Framework, Fintech, HKMA

    Related Articles
    News

    EC Regulation Sets Out Standards for Reporting and Disclosure of MREL

    EC published the Implementing Regulation 2021/763 that lays down implementing technical standards for supervisory reporting and public disclosure of the minimum requirement for own funds and eligible liabilities (MREL).

    May 12, 2021 WebPage Regulatory News
    News

    APRA Decides to Standardize Submission Date for Quarterly Reporting

    APRA announced the standardization of quarterly reporting due dates for authorized deposit-taking institutions.

    May 11, 2021 WebPage Regulatory News
    News

    ECB Working Group Publishes Recommendations on EURIBOR Fallbacks

    The private sector working group of ECB on euro risk-free rates published the recommendations to address events that would trigger fallbacks in the Euro Interbank Offered Rate (EURIBOR)-related contracts, along with the €STR-based EURIBOR fallback rates (rates that could be used if a fallback is triggered).

    May 11, 2021 WebPage Regulatory News
    News

    Bundesbank Publishes Supporting Documentation for Reporting by Banks

    Bundesbank published a list of "EntryPoints" that are accepted in its reporting system; the list provides taxonomy version and name of the module against each EntryPoint.

    May 11, 2021 WebPage Regulatory News
    News

    EBA Publishes Phase 1 of Reporting Framework 3.1

    EBA published the phase 1 of its reporting framework 3.1, with the technical package covering the new reporting requirements for investment firms (under the implementing technical standards on investment firms reporting).

    May 10, 2021 WebPage Regulatory News
    News

    APRA to Finalize Capital Adequacy Standard Revisions by January 2022

    Asia Pacific Australia Banking APS 111 Capital Adequacy Regulatory Capital Basel RBNZ APRA

    May 10, 2021 WebPage Regulatory News
    News

    ESMA Issues Guidelines on Outsourcing to Cloud Service Providers

    ESMA published the final guidelines on outsourcing to cloud service providers.

    May 10, 2021 WebPage Regulatory News
    News

    EBA Publishes Data on Deposit Guarantee Schemes

    EBA published annual data for two key concepts and indicators in the Deposit Guarantee Schemes (DGS) Directive—available financial means and covered deposits.

    May 10, 2021 WebPage Regulatory News
    News

    OSFI Sets Out Plan for Future Guidance on Managing Technology Risk

    OSFI has set out the schedule for release of draft guidance on the management of technology risks by federally regulated financial institutions and private pension plans.

    May 10, 2021 WebPage Regulatory News
    News

    MAS Updates Housing Loan Rules, Proposes Corporate Governance Guidance

    MAS updated rules for new housing loans by banks and finance companies.

    May 10, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 6964