The summer of 2024 was marked by the launch of a pilot project to introduce open banking standards announced by VTB and Alfa-Bank. Later on, Gazprombank, PSB and MKB joined the process and plan to launch similar pilots by the end of the year. It is important to note that not only banks, but also third-party financial service providers – IT solutions vendors and software developers for the financial sector – are involved in the project’s implementation.

Right line open banking prototype

One of the brightest examples of open banking implementation is the prototype developed by Right line based on the Open APIs of the Bank of Russia and the Fintech Association platform. This solution supports two main options: consent for accounts and consent for payments.

Account Consent

This feature allows customers to manage their accounts and consents with different banks from a single window. The user can independently select what information they are willing to transfer, authorise consents on the selected bank’s website and track all existing consents through a single interface.

Consent for payments

This option allows the user to authorise a one-off payment based on the financial information available on the screen. This greatly simplifies the transaction process and enhances customer convenience.

Example of a successful implementation

Another example of how open banking works in Russia is a pilot project of the Fintech Association and the financial aggregator Sravni. It allows mortgage applications to be made directly through the marketplace’s website, demonstrating how open banking can improve the customer experience and speed up processes.

Prospects for the development of open banking

Open Banking significantly increases the level of customer service and competitiveness in the financial market. Thanks to Open APIs, more banks can participate in the development of these services without the need for significant investments in infrastructure.

According to the Bank of Russia’s Concept Paper, successful implementation of Open APIs could lead to a transition to Open Finance by 2030 and then to Open Data. This will allow banks to expand functionality and go beyond traditional financial services, creating digital ecosystems that connect financial institutions with non-financial services such as transport, healthcare and retail.

The importance of security

However, to successfully develop services based on Open APIs, it is critical to increase customer confidence in the security of the interface. Data security and user confidence will be determining factors in the spread of Open Banking and its integration into customers’ daily lives.

Open Banking in Russia represents an important step towards a more flexible and integrated financial system. With each new project and initiative, we see this approach changing the financial services landscape, offering customers new opportunities and improving their experience of interacting with banks. It is important to continue to develop this area with a focus on security and user trust in order to realise the full potential of open banking.