Sorry, you need to enable JavaScript to visit this website.

Explore the Capabilities of Open Finance with Globe Business

In the world of Open Finance, technology is king. From cloud computing to cybersecurity and connectivity, it's the driving force behind innovation. Globe Business is at the forefront, supporting the Open Finance landscape in the Philippines with cutting-edge technology.

Exploring Opportunities and Challenges


As technology opens new doors, it brings exciting opportunities for growth and innovation. For instance, digital banking platforms have revolutionized how consumers manage their finances, offering seamless access to services like digital payments, personalized budgeting tools, and automated investment management. These innovations not only enhance convenience but also foster deeper customer engagement and satisfaction.


While there are unique challenges such as ensuring data security and overcoming connectivity issues, financial services institutions (FSIs) have the chance to navigate these successfully by taking advantage of the potential of technology.

Understanding the Role of Technology


Technology serves as the backbone of Open Finance, fundamentally reshaping how financial services are delivered and experienced. It empowers FSIs in several key ways:


  1. Expanding Offerings: Technology enables FSIs to diversify their product and service offerings. For instance, digital banking platforms allow customers to manage their finances conveniently through mobile apps, offering services such as online transactions, expense tracking apps, and financial portfolio management.


  2. Improving Financial Management: Advanced data analytics and automation tools enhance financial management capabilities. FSIs can analyze vast amounts of data in real-time to gain insights into customer behavior, market trends, and risk management, enabling financial businesses and institutions to make informed decisions swiftly.


  3. Enhancing Customer Experiences: Advanced technology facilitates personalized customer interactions. AI-powered chatbots provide instant customer support, while predictive analytics anticipate customer needs, offering tailored recommendations and services. This level of personalization fosters stronger customer relationships and boosts satisfaction.

Challenges of Technology Adoption


Adopting new technology in Open Finance can be challenging due to several barriers:


Business Level Challenges


  1. Starting a Strategic API or Digital Transformation (DX) Program:
    Many businesses lack the technical expertise needed for effective implementation. Uncertainty about the financial returns of these programs often reduces their attractiveness, leading companies to prioritize other strategic objectives over adopting new technology.


  2. Updating your IT Infrastructure:
    Outdated systems may not be flexible or scalable enough to integrate with modern technologies seamlessly. Consequently, the process of upgrading or replacing legacy infrastructure can be time-consuming, costly, and disruptive to ongoing operations.


  3. Keeping Skilled IT Staff:
    Organizations must not only attract but also retain talent equipped with the necessary technical skills. Investing in continuous training and upskilling programs for existing employees becomes essential to bridge skill gaps and ensure that the workforce remains capable of leveraging new technologies effectively.

Strategies for Successful Technology Implementation


To overcome these challenges, FSIs should adopt the following strategies:


Business Level Challenges


  1. Talent Management Through Continuous Learning and Upskilling:
    Talent management involves both resource planning for the future and fostering a culture of continuous learning. This includes reassessing future needs and providing ongoing training opportunities, certifications, and career development aligned with technological advancements.


    To achieve this, organizations can invest in comprehensive training programs (workshops, certifications) and partnerships with educational institutions to upskill existing employees and build technical expertise. Additionally, starting with small-scale pilot projects allows organizations to demonstrate the value of new technologies and gather data to justify wider adoption.


  2. Leveraging Regulatory Sandboxes:
    Explore the Bangko Sentral ng Pilipinas (BSP's) Regulatory Sandbox Framework established through Circular No. 1153 (September 2022). This framework allows FSIs to test innovative financial products and services in a controlled environment with the BSP's oversight. Participation in a sandbox can help mitigate risks associated with deploying new technologies and streamline the approval process for innovative financial solutions.

Take the First Step with Globe Business


We understand the transformative power of technology in Open Finance. Our expertise and innovative solutions empower FSIs to navigate the complexities of technology adoption. Alongside our Connectivity and Cloud portfolio, we are also active in providing immersive learning opportunities and workshops specifically designed to address the digital transformation needs of financial institutions.


Together, we can unlock the full potential of Open Finance and embrace the future with confidence. Connect with Globe Business today.

Top