OPEN BANKING AS AN INSTITUTIONAL FRAMEWORK FOR FORMING AN INNOVATIVE ENTREPRENEURIAL CULTURE

Abstract

This article provides a comprehensive study of open banking as an institutional and technological foundation for developing an innovative entrepreneurial culture in the financial sector. It explores open banking as a model for the regulated exchange of financial data via standardized application programming interfaces (APIs), facilitating interaction between banks and third parties with client consent. The transformation from a traditional closed banking architecture to a platform-based ecosystem is justified. International implementation experiences are analyzed, including the UK, the EU's PSD2 Directive, Singapore, and India.
Particular attention is paid to the Ukrainian context, specifically the National Bank of Ukraine's 2025 open banking implementation harmonized with PSD2 requirements, which mandates real-time core APIs and third-party licensing.
Key benefits include increased competition, innovative fintech development, improved financial inclusion, and optimized operations for small and medium-sized enterprises (SMEs). Open banking lowers market entry barriers and stimulates customer-centric business models. Developing an entrepreneurial culture within this context manifests through growing digital literacy, open innovation, bank-fintech collaborations, and strategic data management. While promoting trust and transparency, the study also outlines primary challenges: cybersecurity risks, data protection, regulatory fragmentation, and the need for technological modernization in banking systems.