Open Banking is on its way towards global adoption and Asia is just getting started. Open API Banking has become such a vital component of catering to the future of banking that all banks are gearing up for it with or without a national regulation in place. This session provides insight into why open banking is THE driver for digital transformation in financial services. This deck covers the current challenges of the Philippine Banking industry, how to craft an Open Banking strategy to overcome those challenges, a cross border transfer of experiences: What EU and UK banks have taught us, and why open banking and digital transformation belong in the same sentence.

1. Open Banking
Bringing you closer to Digital Transformation
Seshika Fernando
Head of Financial Solutions
WSO2

2. OPEN BANKING AND SECURITY FORUM 2019
Integration suites for digitally-native organizations are now API-driven.
IDENTITY & ACCESS
MANAGEMENT
Secure and federated
identity for integration
ENTERPRISE
INTEGRATION
Quick, iterative integration of
any app, data, or system
API
MANAGEMENT
API design, creation, reuse,
governance, and analytics
#1 Open Source Integration Suite Vendor
Application infrastructure and middleware projects
are becoming the cornerstone of the digital business.
“

3. OPEN BANKING AND SECURITY FORUM 2019
WSO2-At-A-Glance
$37m
50%
500+
175
550+

4. Our Expertise
in
Financial Services
Expense
s
Profit

5. INTEGRATION SUMMIT 2019
Current Challenges in the
Philippines Banking Industry

6. Financial Inclusion in the Region
East Asia and Pacific (including developed countries)

7. Making a Case for Financial Inclusion
Philippines
BANK ACCOUNT
received wages to
an account
saved at a financial
institution
of borrowings are
from a Bank adults have
a bank account

8. Credits:https://tech.co/millennials-killing-broke-business-sucks-2017-09

9. Characteristics
Maturists
(pre-1945)
Baby Boomers
(1945-1960)
Generation X
(1961-1980)
Generation Y
(1981-1995)
Generation Z
(1995-2012)
Attitude toward
technology
Largely disengaged
Early information
technology (IT) adapters
Digital Immigrants Digital natives
“Technoholics” -
entirely dependent
On IT: limited grasp
of alternatives
Signature
product
Automobile Television Personal Computer Tablet/smartphones
Google glass, graphene,
nano-computing,
3D printing,
driverless cars
Communication
media
Formal letter Telephone Email and text message Text or social media
Hand-held(or integrated
into clothing)
communication devices
Communication
preference
Face-to-face
Face-to-face ideally, but
telephone or email if required Text messaging or email
Online and Mobile
(text messaging) Facetime
Preference when
making financial
decisions
Face-to-face meeting
Face-to-face ideally, but
increasingly will go online
Online—would prefer
face-to-face if time permitting Online
Solutions will be digitally
crowd-sourced
Credits: https://wealth.barclays.com/global-stock-and-rewards/en_gb/home/research-centre/talking-about-my-generation.html

10. Gen 𝛂
9%Gen Z 34%Gen Y 29%
Gen X 13%
Baby Boomers 13%
0
200
400
600
800
Population(millions)
0-4
5-9
10-14
15-19
20-24
25-29
30-34
35-39
40-44
45-49
50-54
55-59
60-64
65-69
70-74
75-79
80-84
85-89
90-94
95-99
100-104
Age Group
Banking Consumer Distribution Today
Maturists 3%

11. Gen 𝛂
9%Gen Z 34%Gen Y 29%
Gen X 13%
Baby Boomers 13%
0
200
400
600
800
Population(millions)
0-4
5-9
10-14
15-19
20-24
25-29
30-34
35-39
40-44
45-49
50-54
55-59
60-64
65-69
70-74
75-79
80-84
85-89
90-94
95-99
100-104
Age Group
Banking Consumer Distribution Today
Maturists 3%
84%13%

12. Gen 𝛂
9%Gen Z 34%Gen Y 29%
Gen X 13%
Baby Boomers 13%
0
200
400
600
800
Population(millions)
0-4
5-9
10-14
15-19
20-24
25-29
30-34
35-39
40-44
45-49
50-54
55-59
60-64
65-69
70-74
75-79
80-84
85-89
90-94
95-99
100-104
Age Group
Banking Consumer Distribution in 10 years
Maturists 3%
95%5%

13. Digital Banking Requirements

16. INTEGRATION SUMMIT 2019
Open Banking to the Rescue

18. Banks expose their customer payment and account data, with customer consent, to
Third-party Providers (TPPs) via APIs.
Open Banking: Putting Customer in Control

19. INTEGRATION SUMMIT 2019
Thriving with Open Banking

20. Expanding Distribution Channels

21. Expanding Distribution Channels

22. Expanding Distribution Channels

23. Expanding Distribution Channels

24. KYC like never before

25. KYC like never before

26. KYC like never before

27. KYC like never before

28. INTEGRATION SUMMIT 2019
Open Banking for Digital Banking

29. Spaghetti Architecture

30. Multiple Identities

31. Siloed Analytics

32. Technology Components of Open Banking

33. Opening the door to Digital Transformation

34. INTEGRATION SUMMIT 2019
WSO2 Open Banking

35. WSO2 and Open Banking

36. Key Features required for Open Banking

37. Other Banks
Example Open Banking Architecture
Internal Bank Network
Core Banking
System
Card Management
System
Utility Payment
Service
More ….
Customer
Third Party
Apps

38. WSO2 Open Banking - Componentized
Architecture

39. Implementing Open Banking

40. Regulatory and domain expertise with global banks
To help you understand the best technology fit for open banking
Shorter technology implementation cycles
that support aggressive project deadlines
Componentized solution architecture
that is customizable to any use case
Extensible
to support banks ongoing and upcoming digital banking initiatives
WSO2 Advantage for Open Banking

41. https://wso2.com/solutions/financial/open-banking/
Check out WSO2 Open Banking

42. THANK YOU
wso2.com