BRASILIA, Brazil—The third phase of the open banking initiative in Brazil has gone live, introducing services such as Pix, the country's instant payment system.
Open banking -- a practice that allows third party financial services firms to open up customer data for regulated providers to access, use and share through application programming interfaces (APIs) with consumer consent -- is being introduced in Brazil under a phased approach.
Open banking is rolling out in a number of countries at a much faster pace than in the United States.
Current Phase
The current phase aims to enable the introduction of new environments for making payments and, subsequently, new dynamics for credit operations. After instant payments, other capabilities to be introduced under the third phase will include services such as transfers between accounts of the same institution, direct debits and credit proposals, ZD Net reported.
Third Phase
The third phase of the initiative was originally due to start in August. However, this stage was postponed due to the need for adjustments in the technical specifications. Brazil's Central Bank argued at the time, saying these tweaks compromised the deadline for carrying out tests for the certification of the participating institutions, ZD Net explained.
Fourth & Final Phase
The fourth and final phase of the project is scheduled to start in December, when financial services such as insurance, pensions and investments will be added. Just as in phase 3, the fourth stage of the project will be gradually introduced, and open banking in Brazil will be fully rolled in Brazil by September 2022 rather than the end of 2021, as initially planned.