Visa Invests in Open Banking Platform Basiq

Australia-based open banking platform Basiq will use an investment from Visa to step up its API efforts, according to a Wednesday (Nov. 24) blog post on the company’s website. The amount of the investment was not disclosed.

The collaborative effort will enable the companies to work together on new products and services and help Australian FinTechs and financial institutions solve customer pain points and provide new experiences, according to the announcement. Combining Visa’s infrastructure and networks along with Basiq APIs, technology and customer relationships will bolster open banking implementation in Australia by ensuring a secure, reliable platform for innovation.

Basiq will assist more businesses in the payments realm with delivering streamlined payments by blending open banking with payment rails.

Since 2017, Basiq has allowed consumers to securely connect their bank and data to FinTechs, providing access to a data network which spans all major financial institutions in Australia and New Zealand. More than 150 FinTechs use the Basiq platform to devise customer-focused experiences across various segments, including lending, digital banking, investment, buy now, pay later (BNPL) and payments.

“We’re excited to partner with Basiq on open data, an area where Visa sees great potential to drive innovation in financial services,” said Julian Potter, Visa group country manager, Australia, New Zealand and South Pacific. “Visa is known for money movement, but moving digital money is fundamentally about moving data. We’re extending our network capabilities and expertise into data movement, and our investment in Basiq is a great example of how we’re supporting the rise of the open data economy in Australia.”

In addition to its work with Visa, Basiq, in September, announced a partnership with Australian spend management platform Cape to launch the Startup Launchpad, according to PYMNTS.

Read more: Corporate Card Platform Cape and Open Banking Platform Basiq Partner on ‘Startup Launchpad’

Aimed at helping small and medium-sized businesses receive real-time financial data, the effort is meant to speed up the process of connecting bank accounts, obtaining credit reviews and access to credit.