Open banking as a new approach: A model proposal for Turkey

Open banking involves banks sharing customer information with third-party service providers with the customer's permission, allowing these companies to offer new products and services. Banks provide the necessary infrastructure using Application Programming Interface (API) for approved transactions and transmit the permitted information to service providers. This comprehensive approach allows customer financial data to be processed and processed in one place. Financial technology organizations, also known as service providers, also participate in the service process between banks and consumers. Open banking applications have begun to emerge in the field of payment systems and the importance of the need for security and uniformity has become evident. Legal codes and standards have been established in countries such as the United Kingdom, the European Union and Australia to promote competition in the banking sector and provide beneficial goods and services to customers. The number of applications submitted since the entry into force of the Payment Systems Directive (PSD) 1 and 2 has increased significantly, especially among EU member states. In the study, first of all, the historical development of the open banking concept within the banking sector is explained and its development in the world and in Turkey is compared. Finally, a bank model that will serve in Turkey has been proposed based on services abroad. The bank model is designed to target credits, treasury, banking operations and payment systems and accounting department.