Privacy-Preserving Computation Assures Much Needed Balance in Open Finance

Privacy-Preserving Computation Assures Much Needed Balance in Open Finance

  • July 2021 •
  • 16 pages •
  • Report ID: 6104620 •
  • Format: PDF
This report discusses how open banking initiatives are accelerating once again in Asia/Pacific, and how it is amplified as banks take advantage of the use of "data with others." This creates the possibility of the unbundling and rebundling of financial services not necessarily just banking products. open finance creates value never seen, or rarely seen before in financial services. Michael Araneta, AVP for IDC Financial Insights Asia/Pacific says, "open finance brings to the fore the need for an equilibrium of three objectives: accuracy, performance, and security. Banks need to determine which high-performing data asset sharing is most useful for the customer, and which mechanisms and frameworks of data asset sharing are worthwhile."Eric Gao, Research Director remarks, "The search for a balance is clearly seen in the credit evaluation process of a lending application, where the approval decision needs to be made in a split of second. In these cases, model performance is most likely given the highest priority as long as security requirements and speed are not compromised."