Looking at one of the biggest disruptions we are seeing in the industry and it's effects
Left to right: Ireti Samuel-Ogbu (Citi); Shahrokh Moinian (Deutsche Bank) see Open Banking and APIs forming a ‘virtuous circle”
It was during this panel that the treasury focus is on better outcomes today rather than the technology and connectivity delivering it and what might happen tomorrow. Deutsche Bank’s Global Head of Cash Products Shahrokh Moinian, together with Ireti Samuel-Ogbu, EMEA Head of Payments & Receivables at Citi represented the banking stance and Albert Hollema, of the Endemol Shine Group and Paul Misere of Medtronic (both from the Netherlands) provided the corporate perspective.
“I think open banking is an interesting concept and a good development”, said Hollema. He thought banks were afraid that fintechs would take over and step in aggressively, however “Today I don’t see that and only a very small number of the fintech start-ups will still be there in five years. The collaboration between fintechs and banks is encouraging,” he added.
There has, said Samuel-Ogbu, been a shift from batch to real-time with regulation (PSD2) as an enabler. “The opportunity to access other bank accounts in real time using APIs and banks providing API capability to their clients is potentially a virtuous circle and an opportunity,” she said.
Moinian agreed and added, “Open banking is one of the biggest disruptions we are seeing in the industry, the full effect of which has not been fully realised. And regulation has made it a foregone conclusion. Some banks just focus on compliance, but others take the opportunity to provide corporate clients more services and go to the next level.”
Paul Misere countered saying, “It’s not a hot topic for a lot of treasurers”. Which seemed to be backed up by the instant poll of the room, where 55% of the audience did not seem excited by PSD2. Medtronic is one of the largest suppliers of medical equipment and very much B2B. However, he did say, that the whole thing was “an eye opener to start having a dialogue with my main banking partners to see what opportunities Open Banking brings, and how we as an organization can map that into our everyday business.”
