Fidelity Bank, one the African leading financial institutions, has signed a Memorandum of Understanding (MoU) with Open Technology Foundation (OTF) for the adoption of a standard Application Programming Interface (API) to drive its retail strategy and promote open banking.
Open Banking provides a user with a network of financial institutions’ data through the use of APIs.
The Open Banking Nigeria Standard defines how financial data and services should be created, shared and accessed. By relying on networks instead of centralisation, open banking helps customers to securely share their financial data with other financial institutions.
The bank recently took a bold step to further provide its consumers with improved services and solutions that meet their needs by leveraging the collaborative model of Open Banking. Through this deal, Fidelity Bank would deepen the delivery of its financial services through appropriate and time-sensitive channels while collaborating with other stakeholders within the ecosystem.
Open Banking has been seen as the most transformational financial technology over the next decade which has seen about 47 countries at various stage of implementation. Recently, the Central Bank of Nigeria signaled its intention to lead Africa in digital payments innovation with the request for information about the National Payments System Vision 2030 for which Open Banking is a strategic priority.
Also, Fidelity Bank has, by this development, joined other leading banking and financial services industry players, which have not only adopted but are also promoting this mode of operation, which, among other benefits, would drastically consolidate customer satisfaction, grow revenue across diverse streams, promote financial inclusion, as well as assure a smooth but controlled data flow.
“As a digitally innovative and forward-thinking bank, we believe in the importance of investing in digital technologies and its significant contributions to shaping the future of banking globally.
“Therefore, this partnership with the Open Technology Foundation for the adoption of a standard, industry-wide API is a step in the right direction and is in alignment with our commitment to digital innovation, for the satisfaction of our customers,” Fidelity Bank CEO, Nnamdi Okonkwo.