Finextra, the global go-to source for any and all fintech-related news, features, and developments recently collaborated with provider of software solutions for the financial services sector, Misys, to publish a new research report called, ‘Transaction banking in an open, connected world’.
The transaction banking industry is in the midst of a dramatic transformation that is being driven by several compelling forces. Perhaps the most important of these forces is the revised Payment Services Directive (PSD2), which will officially set in on the 1st of January 2018, and has therefore not surprisingly been the source of much anticipation within the payments landscape.
Clearly, mmany of the change drivers in banking – including regulations such as PSD2 and innovations like open APIs and the Internet of Things (IoT) – are pushing banks to embrace their role within this new, integrated digital ecosystem. There has been much discussion about the implications of these trends for banks’ consumer-facing businesses. However, as of yet, there has hardly been any focus devoted to the challenges, nor the opportunities, for transaction bankings’ corporate banking businesses within the moore modern and connected world.
This freshly published paper details the results of the recent research carried out by Finextra in collaboration with Misys, and addresses critical questions around how PSD2, open APIs and the IoT are currently being viewed by corporate banks; how corporate banks are factoring these trends into their technology and strategic thinking; and how well-positioned they are to take advantage of the transformation accompanying these changes – rather than risking loss of business as a result of the shift that is coming. To provide a user-friendly review of its research findings, the report has been divided into four key topics for discussion, which are listed in bullet points below.
• The transition to open banking: how difficult will it be?
• PSD2: opporunity to win big, or disastrous drain on resources?
• The power of partnership: the APIs have it
• Internet of Things: early days for the IoT
The findings presented in this paper further details the key insights gained during a roundtable discussion that was hosted by Finextra and Misys during the Swift’s Sibos conference that took place in Geneva, Switzerland near the end of 2016. This session joined experts from across the global financial services industry to further tackle this highly important topic. The evaluation conducted as part of this collaborative research effort indicates that corporate banks are keenly aware of the significant impact that these changes are likely to bring to the banking business, and there is a great deal of positivity in their thinking about these trends. That being said, they also acknowledge that there are a number of hurdles still to overcome – not the least of which is identifying which of the existing and emerging technologies they can exploit to bring them the best possible value as they reinvent their business models for the connected age.
To read or download the complete report – ‘Transaction banking in an open, connected world’ – by Finextra & Misys, click here.
