Ximena Aleman
Contributor
Ximena Aleman is co-founder and chief business development officer at Prometeo, an open banking platform that serves Latin America.
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We are only in the first chapter of Latin America’s long journey to tech growth. But with the region’s thirst for innovation, the market is expected to expand nearly tenfold over the next decade, with open banking through the use of APIs leading the way and acting as digital transformation facilitators.
With LatAm businesses and startups continuously integrating with new-age platforms and services, adopting an API-driven transformation strategy has become essential – as a result, the entire financial system is being “APIfied.”
In other words, this open API ecosystem, in which third-party service providers access consumer data from financial institutions, means financial services will be optimized to lower costs and time spent on transactions and improve user experience.
The advantages of having open communication between different products and services are nearly infinite for credit scoring, moving money between bank accounts, and spanning verticals like the neobanks, credit providers, and personal finance products Latin Americans use every day.
In 2019, API usage was more mature in the financial and e-commerce sectors, but it is now venturing into other areas such as marketing and insuran …
