Open data allows access to and sharing of consumer-approved financial data across financial organizations, creating a digital ecosystem for financial institutions and consumers. Once created, this digital ecosystem provides new opportunities for governments, businesses and entrepreneurs to easily build new data-driven products for the benefit of consumers and small businesses.
To uncover the effects of open data for finance within different economies around the world – the U.S., U.K., Europe, and India – Flourish Ventures partnered with McKinsey & Company in joint research on open data for finance over the next decade. The McKinsey Global Institute is now publishing a paper based on this research. Key findings revealed:
- Economies that embrace data standardization and openness could see GDP gains between 1–6% by 2030
- A robust digital financial infrastructure that can disburse financial aid swiftly has already proven its worth (evidenced by countries like India during the Covid-19 pandemic).
- The advantages of sharing open financial data across financial institutions for both financial institutions and the consumer
- Efficiencies that are driving considerable value such as boosting the economy in 2030
- Effects on advanced economies such as the US, UK and Europe as well as emerging ones like India
- What it takes to capture the full value of open data for finance