Why should banks initiate API Banking?
– Will give them access to new channels / partners to acquire and service their clients.
– Will help in providing seamless service to corporate clients for payments, trade finance through integrations with their own ERP systems
– Will enable partnerships with Fintechs for lending, payments, trade finance
– Will reduce cost of acquisition as well as service
What should banks do to launch API Banking?
– Create comprehensive API Banking Strategy with set of key APIs to be exposed along with potential monetization framework
– Create new unit aligned to this strategy like API Product Management, Partner Enablement Team etc.
– Deploy API Gateway and Portal
– Execute complex API program with early wins
Few banks would take massive lead… Would your bank be one of them.