Open Banking received a boost in New Zealand this week as the Bank of New Zealand (BNZ) upped its game in the area via a fintech investment.
The New Zealand central bank has undertaken an investment in BlinkPay, an Open Banking fintech headquartered in the capital city of Auckland.
BNZ states that it will help BlinkPay accelerate and scale innovation and product development by committing the central bank’s resources to this task.
“BNZ has been at the forefront of Open Banking in New Zealand since 2018, with more than 250,000 customers already benefiting from innovative financial services enabled by BNZ’s open banking technology,” Dan Huggins, CEO of BNZ, remarked.
“This represents the next phase in our journey. With BNZ supporting BlinkPay’s innovation and agility, we can accelerate the development of new products and services that will benefit all New Zealanders.
“We’re proud to be investing in a team that has proven their ability to innovate and deliver.”
Post-investment, BlinkPay co-founder Adrian Smith will become its CEO. Other than this there have been few structural changes at the company, which will retain its own leadership and decision-making abilities.
BNZ has mapped out the strategic scope of the business moving forward, however. The bank detailed that the partnership will focus on developing Open Banking capabilities to ‘improve financial outcomes for consumers and businesses’ across New Zealand.
“As a Māori-led business, we bring a unique perspective to financial innovation. BNZ understands and values this – and they’re backing our vision while enabling us to retain our startup DNA,” Smith remarked.
“Our kaupapa has always been about making financial services work better for all New Zealanders. BNZ’s support gives us the resources to accelerate our mission and help grow the open banking ecosystem across Aotearoa.”
The investment and partnership come about at a time of heightened global interest in Open Banking, with various countries’ governments, central banks and financial sectors keen to see further adoption.
The UK, Nordics and Australia are widely seen as some of the frontrunners, and New Zealand may be seeking to catch up on its Oceania neighbours in the latter.
