DSInnovate Report: Open Finance in Indonesia 2022

Terminology Open Finance emerged in the midst of rapid business development fintech. The capabilities offered try to bridge various obstacles that are still encountered by industry players, related to business process efficiency and technology development.

Open Finance itself is defined as a mechanism for sharing financial data by users. The data can be from anywhere, it can be from banking, services fintech, or others (such as shopping transaction data, credit purchase data, and so on). In fact, there are many alternative data that can be used for financial analysis needs.

Seeing the development of Open Finance adoption in Indonesia, DSInnovate and Brig launched the research results entitled "Open Finance Report 2022". This report contains reviews of concepts, business models, to case studies of the use of Open Finance in Indonesia. Equipped with findings from qualitative and quantitative studies conducted by researchers.

The report contains four main sections, as follows:

• Introduction to Open Finance; provides a comprehensive overview of Open Finance and how this technology works to help the financial industry get more benefits.
• Open Finance in Indonesia; explore the developments and challenges of the implementation of Open Finance in Indonesia, as well as the regulations that currently cover this concept -- considering that the financial sector is tightly regulated by the authorities.
• Understanding of Open Finance; see how far industry players understand about Open Finance and the services it offers.
• The Future of Open Finance; projecting how Open Finance services will develop in Indonesia, including related to business ecosystem support from the side of industry players and regulators.

There are a number of interesting findings from the study results that are summarized in the report. One of them is based on the results of interviews conducted with a number of industry players. From the We+ platform, for example, on the industrial side, there are indeed challenges in getting more complete data to perform risk profiling to help insurance companies adjust premium prices.

Likewise for other industries such as P2P Lending, more data is possible to produce better and personalized products. In addition, there are also opinions from a number of other industry players, including from banking, regarding the potential of the implementation of Open Finance.

For full findings, download the report for free via the following link: Open Finance Report 2022.

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Disclosure: DSInnovate was supported by Brick in the preparation of this report