Keeping global commerce moving requires rapid-fire, cross-border B2B payments. As financial institutions (FIs) and other corporates seek to keep pace, many are turning to application program interfaces (APIs) to help. More banks are tapping SWIFT gpi, while corporates are tapping a new offering that enables them to use the Single European Payment Area (SEPA) Instant Credit Transfer (SCT Inst) scheme.
This month’s B2B API Tracker charts companies’ latest efforts to leverage APIs for faster, smoother payment experiences.
Around the B2B API World
In an effort to increase SCT Inst adoption, Deutsche Bank recently partnered with Serrala, a B2B software FinTech, on an API that enables corporations to use SEPA instant payments. The corporations can instantly initiate payments via enterprise resource planning (ERP) software provided by German solutions provider SAP.
In Spain, banks are turning to other methods for their cross-border payments. Six major banks recently signed up to use SWIFT gpi for this purpose. Participation in the program also gives the banks the ability to use API calls to access the messaging service’s end-to-end payments tracker.
Speed is also the focus of efforts from Canadian FinTech Buckzy Payments. The company aims to provide 24/7 international transfers within five minutes. To support this goal, Buckzy launched a payment ecosystem network and technology platform that provides APIs for banks and service providers.
Find all the latest headlines in the Tracker.
When banks’ small business customers want to use FinTech services, such as accounting software, these require drawing on their bank account data. However, if the bank doesn’t provide an API to securely enable data access, FinTech firms will often turn to less secure methods to access that data, like screen scraping, said Ismail Chaib, chief operating officer of software company TESOBE, in a recent PYMNTS interview.
In this month’s feature story, Chaib explained how even in jurisdictions where banks are not required to participate in Open Banking, they would be wise to embrace the practice and offer FinTech APIs. Doing so can help the FI enhance security, gain better insights and provide broader customer offerings.
Find the full scoop in the Tracker.
The payments landscape is changing as banks embrace — or are compelled by regulations to adopt — Open Banking, and as they and other companies seek to keep up with customer demand for streamlined B2B cross-border payments. FIs need secure, cost-effective ways to provide their customer data, and payment companies need to provide faster, more robust B2B payment services.
This month’s Deep Dive explores the key role of APIs in both these efforts. To read the Deep Dive, download the Tracker.
About the Tracker
The B2B API Tracker™, powered by Red Hat, serves as a monthly framework for the space, providing coverage of the most recent news and trends, along with a provider directory highlighting the key players contributing across the segments that comprise the B2B API ecosystem.