What is open banking?
Open banking is a technological breakthrough in financial institutions including banking. With open banking, a bank provides a system that can give access to its customers’ financial information through Application Programming Interface (API). The bank will give it only to business owners who have already permission. With it, your consumers can make transactions easily and conveniently directly through your application.
Open banking is part of Indonesia Payment System (IPS) blueprint 2025 vision issued by Bank Indonesia (BI). In the blueprint, Bank Indonesia stated that the Indonesia Payment System 2025 has five visions, which are:
- IPS 2025 reinforces the integration of national digital economy and finance in assuring the proper functioning of central bank mandate in money circulation, monetary policy, and financial system stability as well as financial inclusion.
- IPS 2025 fosters digital transformation within the banking industry to sustain banks' role as a primary institution in the digital economy and finance through the implementation of Open Banking standard as well as the deployment of use of digital technology and data in the financial business.
- IPS 2025 assures interlink between fintech and banks to contain the escalation of shadow-banking risk through the regulation of the use of digital technology (e.g., API), business relation, and business ownership.
- IPS 2025 strikes the balance the balance among innovation, consumers protection, integrity, and stability as well as fair competition through the implementation of digital Know Your Customer (KYC) and Anti-Money Laundering and Combatting the Financing of Terrorism (AML/CFT), data/ information/public business openness, and the deployment of RegTech and SupTech for reporting, regulatory and supervisory.
- IPS 2025 safeguards national interest on cross-border use of digital economy and finance through the obligation of domestic processing for all onshore transactions and domestic partnership for all foreign players under the consideration of reciprocity principle.
BRIAPI as the embodiment of open banking
As the number one bank in Indonesia, BRI participates in realizing the 2025 Indonesian Payment System blueprint by presenting BRIAPI. With BRIAPI, as a business owner you can provide various BRI services for your application, ranging from transactional to payment-related services, such as BRIVA, fund transfer, and direct debit, as well as informational BRI services such as mutation, balance, up to foreign exchange.
BRIAPI has followed the standards set by Bank Indonesia. Safety is one of them. While providing customer’s privacy data to third parties, BRI remains committed to protecting its customer data. This is shown by the fact that in 2019, BRIAPI has already acquired an international standard security certification, ISO 27001.
ISO27001 proof of BRIAPI open banking security
ISO 27001 is widely known, providing requirements for an information security management system (ISMS). This certification proves that BRIAPI successfully maintains their ISMS well, which is reflected in the following points:
BRIAPI shows clarity in terms of system operational flow. This means that BRIAPI service flow is easy to understand. Thus, users will not find it difficult to operate it for their daily operations.
BRIAPI integration application process is fast. You only need four easy steps in the BRIAPI integration application process: register your account, create your application, verify it, then your application will be integrated with BRIAPI immediately.
The data stored in BRIAPI is safely guaranteed and will not be revealed to other parties. BRI always guarantees that in our open banking, there will be no misappropriation of customer data.
It means that BRIAPI complies with information system security in line with applicable regulations. This is basically a code of conduct implemented by all levels of BRI employees.
BRIAPI has risk management to anticipate things that can happen to the system. BRI's anticipatory procedures have had a positive impact on the company's performance.
BRI has strongly minimized potential fraud that could harm BRI's reputation.
In addition, BRI is also the first bank in Southeast Asia to receive PA-DSS (Payment Application Data Security Standard) certification from the PCI Security Standard Council in the United States. The standard aims to prevent developed payment applications for third parties from storing prohibited secure data including magnetic stripe, CVV2, or PIN.
With all of these international standard security, you can integrate your business safely with various BRIAPI services without worrying security issues. From Direct Debit and BRIVA payment features, fund transfers, BRIZZI balance checking and replenishment features, up to mutation and foreign exchange to assist your business development.