Financial institutions (FIs) in the European Union (EU) and the United Kingdom are still thinking positively about open banking even as the COVID-19 pandemic creates obstacles.
FIs and their regulators are clinging to that vision even as they work to answer complicated questions brought about by the virus surrounding online payments, security and data privacy.
Regulators are addressing what data can be shared compliantly under the General Data Protection Regulation (GDPR), for example. EU and U.K. financial authorities are also fielding a rising number of questions from merchants seeking to understand how the Strong Customer Authentication (SCA) tenant of the revised Payment Service Directive (PSD2) can affect their acceptance of online and contactless payments.
Authorities in Australia and the U.S., meanwhile, are seeking to address changes in how their own merchants and consumers think about data privacy thanks to increasing online transactions.