The Central Bank of Bahrain (CBB) has updated its Open Banking Framework, mandating all licensed banks to expose APIs for corporate accounts. The amendments also require obtaining customer consent and authentication, licensee disclosures, and reporting API performance by service providers.

Bahrain, the first country in the Middle East to introduce open banking, launched its Open Banking Framework (OBF) in October 2020, following the initial set of rules released in December 2018. The new amendments are set to bring legal entities in line with the existing open banking framework.

Under the new regulations, banks are now required to allow Account Information Service Providers (AISPs) and Payment Initiation Service Providers (PISPs) access to account information for legal entities after securing their consent. AISPs and PISPs must collaborate with banks to establish standard API specifications and operational guidelines based on Bahrain’s Open Banking Framework. 

The introduction of Corporate Banking APIs will allow Third-Party Service Providers (TPPs) to create new, business-aligned products and solutions such as advanced financial management tools, automated payment solutions, and data-driven insights. Moreover, it will allow SMEs easier access to financing solutions by enabling fintech companies to provide personalised credit solutions based on more accurate data assessments.

Spire, together with Salt Edge, is thrilled to support Bahrain’s ambitious open banking journey. By helping banks to extend open banking to corporate accounts, we’re empowering businesses to streamline operations, improve financial management, and unlock new growth opportunities. This is a significant step towards a more inclusive and innovative financial ecosystem in the Kingdom of Bahrain. Our Open Banking Compliance Hub is a strategic solution for Bahraini banks,

• 
• Aamir Janjua, Co-founder & Deputy CEO at Spire

   

By automating compliance processes and providing real-time insights, our platform empowers banks to navigate the complex regulatory environment with confidence. As the CBB mandates open banking for corporate accounts, the Compliance Hub becomes an essential tool for banks to ensure adherence to the latest regulations and drive innovation in the market.

adds Aamir

Salt Edge is happy to join Spire in enabling Bahraini banks with globally proven open banking solutions. Adding corporate accounts to the scope of mandated APIs unlocks important open banking use cases for ERPs, corporate lending, invoicing, and investment, ensuring more financial inclusivity for driving segments of the economy like SMEs.

• 
• Beleuta Alina, CGO, Head of Business Development & Alliances at Salt Edge

   

About Spire Technologies

Spire is a leading fintech with a presence in Bahrain, Saudi Arabia and the United Kingdom. Spire is harnessing the power of Open Banking to make financial services accessible, affordable and available to everyone. Spire is enabling an API financial ecosystem in the MENA region. The company offers open banking solutions including regulatory compliance, consultancy, account information services, and payment initiation services. Reaching beyond the basics, Spire deploys several powerful retail and MSME Open Banking use cases leveraging advanced APIs, data analytics, and AI capabilities to empower retail and MSME customers and financial institutions to drive seamless financial adoption, foster financial inclusion, and redefine digital finance.

For more information about Spire Technologies visit: https://spiretech.co/

About Salt Edge

Salt Edge is a financial API platform with PSD2 and open banking solutions for every business. The company has two main vectors of activity: enabling third parties to get access to bank channels via a unified gateway and developing the technology necessary for banks to become compliant with the directive’s requirements. ISO 27001 certified and AISP licensed under PSD2, the company employs the highest international security measures to ensure stable and reliable connections between financial institutions and their customers. The company is integrated with 5,000+ financial institutions in 50+ countries. Salt Edge has been named a Strong Performer in The Forrester Wave™: Open Banking Intermediaries, 2023 Report.

More information: www.saltedge.com
Follow Salt Edge on LinkedIn and Twitter
Email: press@saltedge.com