Xendit joins BSP open finance pilot

LEADING payment gateway Xendit is set to provide and use Application Programming Interface technology for the Bangko Sentral ng Pilipinas (BSP) Open Finance Pilot.

According to Xendit, it will contribute its expertise to the development of financial infrastructure that will enable the free flow of data between and among its existing partners to realize the full potential of an open finance ecosystem.

This infrastructure may also be used by financial institutions to address concerns like process efficiency, long approval procedures, online availability and general accessibility.

The BSP said that open finance enables consumers to give consent for using their personal data, leading to improved access to credit and other financial products.

Financial institutions can then utilize this data to develop tailored financial products and services that meet specific market demands.

This, in turn, speeds up financial inclusion by giving the unbanked and small to medium enterprises greater visibility in the formal financial system, ultimately uplifting their lives.

“Imagine we’re creating a toolbox, wherein anywhere you are and whoever you are, you can utilize its contents and build upon them to solve your own problems,” said Jon Trinidad, Xendit head of product innovation.

The ongoing BSP Open Finance Pilot is set to be assessed by the end of the year.

This initiative takes a comprehensive approach, addressing both the technological aspects of open finance implementation and the necessary policies, such as consumer rights and data security, to ensure the success of the program.

Xendit said it was also part of the BSP’s Open Finance Oversight Committee Transition Group before solidifying its commitment to the initiative by volunteering to participate in the Pilot.

“Xendit is committed to advancing the BSP’s Open Finance road map because it will provide access to financial services to the underserved and will build the foundations for the next frontier of financial innovations,” said Guada Vergel de Dios, Xendit Philippines head of compliance and government relations.

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