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Open data good for business if done right, says ABA

Open data good for business if done right, says ABA

As the open data movement gains in popularity, it is likely to influence the way SMEs do business, and the Australian Banking Association has said that if done properly, it can empower customers to achieve better deals and make more informed choices.

But the association has warned that some areas of the concept need more detail and discussion.

Australian Banking Association (ABA) CEO, Anna Bligh, said it’s vital that customers understand the process and that their data remains safe and secure.

“Our number one area of concern is around customers understanding what they are consenting to and what their data will be used for. Banks take data privacy and security very seriously,” Ms Bligh said.

“Just recently it was revealed that data from a social media platform was being used for other purposes, we do not want to see a repeat of this with the introduction of open data in Australia,” she said.

The industry also believes that a 12-month time frame is too short to properly implement such an important reform.

“The banking industry believes that rules and standards must first be designed to ensure consistency across all industries that will eventually take part in the sharing of data,” Ms Bligh said.

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“Customer safeguards and appropriately designed security and standards are vital to the scheme’s long-term success.

“Along with a number of other industry bodies the ABA are calling for a more appropriate timeframe to properly implement this reform,” she said.

In its response to the Farrell Report, the ABA has highlighted several key areas to help the introduction of open data become a success, and protect customers. They include a phased introduction, the reciprocity principle, having clear service levels on how data is to be made available, and customer control over data should be paramount.

Open data good for business if done right, says ABA
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