Sterling Bank plc has formally committed to the development of the Application Programming Interface (API) standard for financial institutions in a bid to chart a new course for the financial services industry in Nigeria and the African continent.
First of its kind on the continent, the initiative will ensure the launch of a standard and non-proprietary Open Banking API gateway in the country.
This revelation emerged with the recent successful signing of a Memorandum of Understanding (MoU) between Sterling Bank and Open Technology Foundation, the non-profit organisation driving the development and adoption of Open Banking standards in Nigeria.
With the development of an API standard, it is expected that more banks and fintechs would be able to successfully meet the rapidly evolving demands of customers, in the same manner in which various applications, including social media, have also progressed to meet these needs. This is mainly because now there would be reference points and standards to guide.
“As always, it is our pleasure to be at the frontiers of financial innovation for not just the banking industry in Nigeria but also for stakeholders in the financial services industry across Africa,” said Olayinka Oni, chief information officer, Sterling Bank.
“We look forward to a future where more users of financial services can consistently access qualitative solutions real-time, save, manage their investments, and generally maximise their funds as they desire. We are optimistic that by the token of our pioneering role in Open Banking, the opportunities for various players within the value chain have been broadened and that the ripple effects would trickle down into diverse segments of the economy,” Oni said.
Open Banking Nigeria would work with Sterling Bank through various stages for the implementation and delivery of APIs, which would subsequently serve as the standard for banks and fintechs in Nigeria and, consequently, Africa.
Ope Adeoye, a trustee of Open Banking Nigeria, welcomed Sterling Bank as a leading partner for the launch of the first standard and non-proprietary Open Banking API gateway in Africa.
“It is a delight to welcome Sterling Bank on board as a pioneer that would champion this initiative in Nigeria. We are convinced that it is a right step that would trigger numerous benefits to the financial services industry in Africa, its players and the economy of Nigeria and Africa as a whole,” Adeoye said.
