Our Scans · The Future of Bank Profitability Under Structural Constraint · Weekly Summary

• [New] Open banking is expected to have a positive impact across the financial sector by strengthening collaboration between banks and fintechs, enhancing financial infrastructure and enabling the responsible use of customers' financial data within a secure, consent-driven framework. Pinsent Masons
• [New] Recent pressures on US private credit entities have highlighted that exposures to private markets can represent an additional source of risk in non-bank portfolios. European Central Bank
• [New] By 2026, digital identity will be deeply embedded into payments, open banking, and digital asset ecosystems, enabling frictionless verification, reducing fraud, and establishing trust as a programmable, interoperable layer of next-generation finance. M2P Fintech
• [New] Canada is moving toward a legislated open banking framework that will replace screen scraping with secure, regulated data access. Mondaq
• [New] Saudi Arabia's push through Vision 2030, SAMA's Open Banking Framework, and the rapid growth of digital payments are creating real opportunities for fintech operators, banks, SMEs, and investors alike. LinkedIn
• Concerns about private credit exposures and the potentially disruptive impact of artificial intelligence on business models triggered a decline in bank stock valuations on both sides of the Atlantic from February, especially for global systemically important banks. European Central Bank
• The financial services composite, which includes banks, insurance providers, fintech platforms, and payment companies, is expected to see advertising spend grow by 11.2% in 2025 and an additional 9.3% in 2026. Marketing-Interactive
• Quantum technology is moving - albeit slowly - from theory to proof-of-concept in finance, and it may become one of the most disruptive forces in banking and fintech over the next decade. FinExtra
• Fintech startups in Botswana are increasingly exploring opportunities in adjacent sectors such as agency banking, digital lending and financial data analytics. The Fintech Times
• The financial sector is undergoing a transformation with the implementation of a National Fintech Strategy (2025-2030) and the National Retail Payments Switch, which aims to interconnect banks, mobile money and fintechs to enhance financial inclusion. Coface
• The FCA will gain new powers to regulate the future of Open Banking that will include underpinning the development of new Open Banking payments within commercial schemes. Bratby Law | Specialist UK Telecoms, Data and Payments
• HM Treasury will give the FCA new powers to regulate the future of Open Banking, including powers to underpin commercial open banking payments within commercial schemes developed by industry. Bratby Law | Specialist UK Telecoms, Data and Payments
• Direct bank lending to private credit funds appears relatively small, but uncertainty is large, and risks may arise through indirect channels such as NAV lending. Perspective on Risk
• The economic impact of open banking and open finance combined could reach £7.4bn per year in 5 years. / UK FCA
• The FCA will consult on its proposed long-term regulatory framework for open banking before the end of 2026. FCA
• The UK's open banking infrastructure, now serving over 11 million active users, creates a structural revenue opportunity that few other markets can match. TechBullion
• Regulatory changes in the UK, such as the Open Finance initiatives expanding on Open Banking requirements, create additional opportunities for fintech companies to aggregate data and offer better services to customers. TechBullion
• Open banking will likely replace a significant portion of ACH and SEPA volumes by 2026 because it offers real-time settlement and eliminates the risk of bounced payments. Gemba
• The Consumer-Driven Banking Act, to take effect in 2026, will provide open banking and make screen scraping illegal. Policy Options

Last updated: 19 June 2026