The value of open data in finance: The EU preparing for the digital financial transformation
How the open finance proposal addresses the benefits of data sharing
The integration of open data in the financial sector is changing the way individuals and institutions interact with financial services. Open data in finance refers to the sharing of financial information, which expands beyond simple banking transactions to encompass a broader range of financial products, including investments, mortgages, and insurance. This type of information sharing can help financial institutions make more informed decisions and can provide consumers with a personalised approach.
Following the shift to digitalisation in the financial sector, the Commission has decided to put forward an ‘Open finance’ proposal. Put forward in June 2023, the proposal aims for open access to customer financial data that is secure across the EU. With the legislative package on a framework for financial data access, rights for the management of customer data are established, which protect consumers and motivates them to share their financial data in a secure way.
Global organisations, such as the World Bank, recognise the potential of open data to drive economic growth and financial inclusion. By making financial data more accessible, developing countries can improve governance and attract investment, further integrating into the global economy. Open data in the financial sector also supports better risk management and more informed decision-making for both individuals and institutions. On our platform, you can find 111 000 datasets of public institutions on economy and finance, contributing to the open finance initiative.
By enabling secure data sharing across financial platforms, open data gives consumers more control over their financial information and fosters innovation among service providers. Open data can create a more dynamic financial ecosystem, helping the EU to be at the forefront of the digital age.
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