True to its name, open banking is open ended. Its interpretation and scope vary worldwide. Australia is now adding its own twist through the framework of its Consumer Data Right (CDR).
From the Australian Treasury’s perspective, open banking refers to the Consumer Data Right applied to the banking sector.
The very existence of CDR implies a regulated take on open banking. But the regulated versus unregulated distinction is a false dichotomy. Approaches to open banking exist on a spectrum.
CDR’s approach to account information is more regulated, but its current approach to payment initiation is more unregulated. And its overall approach is embedded in a data protection regulation equally applicable outside of the banking sector.