Software giant Oracle has introduced a digital innovation platform for open banking to enable the development and deployment of fintech capabilities on a single platform in the public cloud.
The company’s open banking initiative includes a set of platform-as-a-service (PaaS) capabilities and an open API framework that allows banks and fintechs to collaborate on a common cloud platform.
The global rise of fintech companies, increasing pressure from European regulatory bodies and the need to create operational efficiencies have pushed the need for open banking among financial institutions. According to a survey by Roubini Thoughtlab, open banking architectures are expected to grow by 28% over the next few years.
With the banking industry relying on a digital-first marketplace, Oracle’s digital innovation platform provides financial institutions with the opportunity to secure data, algorithms and services through an open API model
The platform combines an agile development environment that aligns with a catalogue of services, such as lending, payments and predictive analytics. It comes with a fintech collaborator ecosystem that interoperates via APIs and enables financial institutions to assemble, enable and digitise services.
“A collaborative community of banks and fintech channels will be key to the monetisation of the API economy,” said Rik De Deyn, senior director at Oracle. “We are delighted to embark on this journey with such industry leaders as Barclays and others who embraced Oracle’s open API catalog and ecosystem of banking services.”
Marc Pettican, MD for Barclays Commercial Payments, said: “Barclays is excited to collaborate with the Oracle open banking community.” Other fintech companies that have joined the Oracle open banking ecosystem include Biz2Credit, IPsoft and the TAS Group.
Sanjay Mathew, senior director of Oracle’s Industry Solution Group, added: “This digital innovation platform, which now offers blockchain cloud services, brings a growing catalogue of APIs and fintech innovators to solve real business problems in the financial services ecosystem.”
Oracle recently joined Hyperledger, an open-source collaborative effort created to advance cross-industry blockchain technologies. The company’s newly announced blockchain cloud service, an advanced distributed ledger cloud platform, provides enterprise customers with rapid provisioning and simplified operations with built-in monitoring, continuous backup, and point-in-time recovery.
“Blockchain holds the promise to fundamentally transform how business is done, making business-to-business interactions more secure, transparent and efficient,” said Amit Zavery, senior VP for Oracle Cloud Platform. “Oracle Blockchain Cloud Service provides enterprise-grade blockchain capabilities and is able to accelerate innovation for on-premises ERP and cloud-based SaaS and PaaS customers.