In the same way as the PIX, the expansion of the open finance has been a priority on the agenda of the central bank (BC). Aiming to encourage competitiveness in the National Financial System (SFN), the open banking system, where the sharing of bank data is promoted personal, has the promise of bringing more options of financial products and services, with lower costs and more transparency to customers, who will have more autonomy over their finance.
Read more: Open Finance expands credit and financing offer
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Even though it is already considered a reality, with 5 million active consents, the director of regulation at the BC, Otávio Damaso, he stated that the system is still not working at full steam, due to inconsistencies in information being shared. The statement was given on July 5, during the Open Banking 2022 event, promoted by the Brazilian Institute of Competition, Consumption and International Trade Studies (IBRAC).
It is worth mentioning that while Open Banking promotes changes in the banking system, which has had an impact mainly on banks and fintechs, Open Finance amplifies this to the financial system in general, taking the new flow of data to other companies that are part of Open Banking, such as brokerages.
Practically, the customer is the owner of his financial data and will be able to choose when and with whom to share it. The fundamental principle of the system is the user's consent, that is, companies must, obligatorily, share information from a customer, whether an individual or a legal entity, only if he requests and authorizes the transmission of data to another institution.
In view of this, the United Kingdom was the first country to implement a similar system, in 2018. Australia implemented the first phase of its program in July 2022, and India has also taken the first steps towards creating its Open Banking. Countries such as the USA, Canada and Russia are also analyzing the possibilities of incorporating the data sharing system into their financial systems.
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