Following the period of public consultation on the “Open Banking Data for Consumer Empowerment”, conducted from November 30 to December 31, 2023, all stakeholders have expressed support with the principles and objectives proposed by the Bank of Thailand (BOT). They advocate for a mechanism that enable consumers to exercise their rights to share their data for their benefits while allowing service providers to efficiently access to data and key infrastructure. This is envisioned to enhance competitiveness and foster better services. In addition, most stakeholders endorse the direction of prioritizing the development of mechanism for consumers to share their data within the financial institutions in the first place. Some suggest extending this mechanism to facilitate cross-sectoral data sharing, particularly within the capital market and insurance sector, to enable the effective utilization of consumer data for developing innovative financial services that better serve consumers' needs. Key recommendations are summarized as follows:

1. Most stakeholders recognize that the most beneficial use cases from open banking data arise when customers can exercise their right to share their data from one service provider to another. Specifically:

(1) Loan application, evaluation, and monitoring: Stakeholders largely agree that data indicating behavior and repayment ability of loan applicants, especially income and expenditure data, such as deposit account transactions, taxable income, social security contributions, and payment transaction via e-Commerce platform are highly beneficial. Additionally, some suggest that data indicating individual or company status that hold at the government entities such as legal actions, bankruptcies, company registration, and tangible asset holdings like real estate and vehicle, would enhance credit assessment comprehensively.

(2) Financial account aggregator (by consolidating various financial accounts or data from different service providers) and related additional services tailored for specific user groups, such as financial planning: Stakeholders predominantly seek income and expenditure data (e.g., deposit account, credit card, e-Money) and financial asset holdings (e.g., securities, insurance). Additionally, they also emphasize that information on debt would provide a comprehensive view of users' financial status.

2. Stakeholders seek clear direction on operational procedures, particularly regarding (1) the scope of criteria for enforcement and oversight of data provider and data consumer (2) the development of open standard and participation of service providers and other relevant entities in setting open standard or technical guidelines for data sharing.

3. Stakeholders emphasize considering various dimensions, including the costs and benefits for participating institutions, establishment of trust in data sharing mechanisms through robust security measures and good data governance, and adoption promotion efforts, such as designing user-friendly, convenient, and secure data sharing, as well as raising awareness of user rights in data sharing for their own benefits.

The subsequent panel discussion on open banking data featured distinguished representatives from various sectors, which included (1) Mr. Thakorn Piyapan, President of TMBThanachart Bank, (2) Mr. Chonladet Khemarattana, President of Thai Fintech Association and CEO of WeBull Securities, (3) Ms. Sarinee Achavanuntakul, Managing Director of Sal Forest, and (4) Mr. Suphatcharin Kingkaew, Vice President of Digital Exchange Platform Department, Digital Government Development Agency. All panelists unanimously agreed on the critical importance of data and emphasized the potential benefits of promoting an open banking data policy. Their insights shed light on what both consumers and services providers can expect from this policy:

• Ms. Sarinee stated that data empowers consumers by enabling easy comparisons, aiding decision-making, and identifying better financial services.
• Mr. Suphatcharin mentioned that linking public sector data can enhance public services, including data retrieval, service registration, and payment, and can pave the way for the development of innovative digital public services in the future.
• Mr. Chonladet expressed that open data will also open new opportunities for service providers of all sizes—both large and small players— to develop new services.
• Mr. Thakorn noted that beyond fostering innovation, data can also address existing common pain points currently faced by many service providers, offering practical solutions.
  

To drive open banking in a sustainable fashion, the panelists offered the following suggestions:

• Mr. Chonladet said that hackathons serve as a catalyst for exploring new services and innovation by leveraging data. This approach not only makes the advantages of open data more tangible to the public and service providers but also fosters confidence in its use. In addition, comprehensive financial and digital literacy should be prioritized.
• Ms. Sarinee suggested that clear and stringent consumer data protection measures are essential. Promoting financial and digital literacy will enhance consumer confidence in utilizing services based on open banking data. Moreover, the BOT should drive both "open infrastructure" and "open competition" alongside "open data" policies to maximize policy outcomes.
• Mr. Suphatcharin stated that public agencies still possess untapped data that can fuel the development of innovative digital public services for consumers. Ensuring user data security remains paramount for both data provider and recipient.
• Mr. Thakorn pointed out that striking a balance between benefits and costs is crucial, as both data recipients and providers shoulder cost burdens. Leveraging existing infrastructures and legal frameworks, such as building on the National Credit Bureau (NCB), can streamline processes and reduce time and expenses for all stakeholders.

The BOT will use this valuable input and feedback to inform further discussions with stakeholders. In this connection, the BOT will announce policy direction on Open Banking in April 2024 and establish steering committee and working groups which comprise of representatives from relevant sectors (e.g., financial service providers including banks and non-banks, regulatory bodies, SMEs, and consumer representatives) to collectively drive and implement Thailand’s Open Banking journey.