Taishin International Bank: Building an API Ecosystem
Winner of Celent Model Bank 2021 Award for Open Banking Ecosystem Development
Despite the relative infancy of open banking, it has already changed the way that many financial institutions consider the future of their products, strategies and competition. The more recent emergence of the concept of embedded finance has the potential to bring even more rapid and substantial change. However, there remain few banks that have actively taken advantage of these new opportunities for innovation.
Taishin International Bank is one of the few financial institutions that is actively embracing these opportunities. Through 2020 it launched several new services, each of which delivers bank services to customers in third party workflows. These service enhancements are made possible because of the bank’s focus on two areas. The first is a careful consideration of customer needs beyond the traditional limits of the standard banking relationship. Customers consume digital services in a wide range of contexts, many of which can be improved through strong identity or transaction-related services. Taishin has looked to address these needs.
The second is an emphasis on cultivating the commercial partnerships necessary to bring these propositions to life. Through its investment in its Digital Innovation Lab, Taishin has created the conditions for these relationships to be built and nurtured. Taishin’s strategy ultimately highlights one of the most important elements of any open banking strategy. Effective innovation can only occur where the focus is on product development and meeting customer needs. APIs are only an enabling technology.
Taishin International Bank is a strong example for others to follow in using open banking and third-party partnerships to strengthen their own digital banking propositions. As such, it is a worthy winner of the Celent Model Bank 2021 Award for Open Banking Ecosystem Development.
Click on the video link below to listen to Kieran Hines, Senior Analyst at Celent, discuss the key elements of Taishin's project. For further details of these initiatives, download the PDF to read the full case study.