The Central Bank of Russia has begun implementing the open banking technology. In the first stage, the banks will test the exchange of data about the accounts of legal entities. It should simplify borrowing for companies. Later, the exchange might include the accounts of individuals as well.

RBC reports that the banks will directly exchange of data about the accounts of legal entities online via open API. The pilot has been launched on the platform of Russian FinTech Association, created by the Central Bank. It currently includes 13 banks.

Open API secures quick and safe data transfer between companies. In the financial market, it is used primarily to give access to the bank’s data and services to third parties.

This is the first service that is launched in the framework of the Open API technology testing - a Central Bank project aimed at digitization of financial services and increase of competition in the financial market.

The exchange of data about the accounts of legal entities will be first used during online lending, but the association does not put limits on the banks in terms of channels (online and offline), through which they can request the clients’ consent for data transfer.

At the moment, the technology is only recommended for use. According to the testing, carried out by the members of the Russian FinTech Association, the Central Bank and federal executive bodies will consider regulating the use of open API by banks.

The participants of the initial testing will pilot the service for their clients this fall and the other participants of the project will follow suit before the end of the year.

The partner of Fintech section is