Open Banking Platform

Financial Services Commission (FSC)

Korea Financial Telecommunications and Clearings Institute (KFTC)

South Korea

Banking | Open Data

Open Banking

• Account Information
• Payment Initiation (Wire transfer services)

Open Data

The Open Banking API is implemented using the REST (Representational State Transfer) approach and is offered as an Internet web service.

RESTful | JSON

Market Driven

Used in South Korea; however, it is not mandatory.

• A unified platform for performing both inquiry and transfer APIs.
• Open infrastructure available to all payment market participants, expanding access from small and mid-sized Fintechs to all Fintechs and banks.
• Built as an API-sharing platform, where a single connection to the Open Banking system links to all participating banks.
• Fast and efficient API infrastructure enables timely service rollout and cost savings.
• Services are accessible to all bank customers.

OAuth 2.0

MFA (multi-factor authentication)

The user authenticates via identity verification and provides inquiry/withdrawal consent on the service provider’s authentication page. The user’s organization obtains authentication by acquiring an Access Token on behalf of the user.

Through the user authentication API, the user grants consent for withdrawals and for sharing financial information with a third party. Additionally, except for token re-issuance, the user’s consent must be re-obtained annually using the account registration verification API after the initial authentication.

Open Banking developer resource

Open Banking in South Korea was introduced in February 2019. The pilot program launched in October, and by December, Open Banking was fully operational, involving 17 banks and 33 Fintechs.

Prior to Open Banking, in 2015, the South Korean Financial Services Commission (FSC) announced the Fintech Open Platform Initiative, considered an early version of Open Banking, aimed at delivering financial services in a standardized manner.

One major change brought by Open Banking is that all firms and banks are now eligible users, rather than just small and medium-sized Fintechs.

By September 2020, 22 million customers, over half of South Korea’s adult population, were using some form of Open Banking. This number is expected to grow with the introduction of the MyData initiative, which expands beyond payment accounts and credit cards to include savings accounts, loans, insurance, and investment data. MyData may even extend into sectors such as telecommunications, healthcare, and energy.

The initiative is expected to benefit both consumers and the industry. Consumers will gain access to a broad range of financial services, from payments and money transfers to loans, spending pattern analysis, and product comparisons, through a single platform. Open Banking is also anticipated to foster competitive collaboration within the financial sector, breaking down barriers between banks and between banks and Fintechs, thereby reshaping the financial services landscape and enhancing ecosystem dynamics. It lowers barriers for Fintechs by reducing costs and easing access to payment networks, encouraging partnerships between banks and Fintechs and promoting innovative solutions.

In February 2024, the FSC announced a major expansion plan for Open Banking services, providing third-party providers with enhanced access to bank data. By December 2024, the user base had reached approximately 203 million registered accounts, and regulatory sandbox initiatives were expanded, allowing Fintech firms to test new products.

In 2025, new consumer protection regulations were introduced. The market size was estimated at USD 3.5 billion in 2024 and is projected to reach USD 12.5 billion by 2033.

The South Korean Open Banking Platform is a single platform that supports both inquiry and transfer APIs. It is overseen by the Financial Services Commission (FSC) and operated by the government body, Korea Financial Telecommunications & Clearings Institute (KFTC). While centrally operated by the government, the platform is market-driven, with no formal or mandatory Open Banking regime. South Korea approaches Open Banking by viewing regulation-led and market-led approaches as points along a spectrum rather than as mutually exclusive options.

The Financial Services Commission (FSC) serves as the decision-making authority for KFTC, which is structured with a general meeting, a board of directors, and 13 committees.

KFTC is a non-profit organization, with 10 banks as general members and regional banks, savings banks, and investment firms as associate members and special participants.

The general meeting, composed of general members, is KFTC’s highest decision-making body. It approves changes to the memorandum, business plans, budgets, membership fees, and the appointment of directors.

The board of directors includes eight directors, appointed by the general meeting, along with the president and executive director of KFTC. The board makes decisions on regular business operations.

Committees consist of eight directors appointed by the board and the general managers of KFTC. Their role is to approve items for discussion at the general meeting and board meetings and/or make decisions on delegated matters.

Additional information about KFTC members can be found on the KFTC website.

The Personal Information Protection Act (PIPA).

The Act on the Promotion of the Use of the Information Network and Information Protection.

The Credit Information Use and Protection Act.