On March 13th, more than 250 finance and tech experts gathered at the Etablissement Namur in Luxembourg-Hamm to attend the first European Open Banking Panel organized by LUXHUB, where international experts discussed the future of banking. During the event, the Luxembourgish startup also launched its Marketplace, which advocates collaboration and innovation at the European level, to answer to the challenges of Open Banking and take advantage of its multiple opportunities.
Nils Jung, Managing Partner of Innopay and moderator of the event, first explained the idea behind the creation of LUXHUB, which actually started 2 years ago, with the goal of ensuring the compliance of banks with the PSD2 regulation but also with the aim of going way beyond and favor cooperation between the different players to reinvent an entire industry. "The platform was built in order for companies to collaborate," he said, before asking: "What happens tomorrow when banks have to open up? It's going to be a very interesting period".
Luxembourg, a longtime friend of FinTech
The organizers had the pleasure to welcome Pierre Gramegna, Minister of Finance, who started his speech by congratulating the LUXHUB team and later highlighted the fact that the startup was built as 4 banks put their efforts together, therefore representing "Luxembourg as its best", with the private and public sectors coming together. The Minister then explained that he has been a friend of Fintech for a long time: "For instance, Paypal established itself in Luxembourg in 2007, when the word "FinTech" didn't even exist. At that time, we were already attractive for payment companies. More recently, we welcomed Rakuten to Luxembourg and have just granted a license to Alipay. In this respect, Luxembourg is well positioned in terms of payment services and FinTech in general," underlined Pierre Gramegna.
The Minister of Finance explained why it was important for such a revolution to take place in Luxembourg: "we are a country famous for banks and for its banking secrecy. But times have changed and transparency is now on the agenda, with the automatic exchange of information and outscouring when it comes to data. LUXHUB came up with a platform of open banking turning challenges into opportunities, and reducing costs and making services more efficient". In this respect, March 13th and 14th are days to remember, with the start the PSD2 testing phase. Pierre Gramegna also tackled the Brexit issue, bringing many uncertainties but also bringing several players to Luxembourg. "We reached out to the UK as we always are in a cooperative mode. Yet, we also need to be competitive, otherwise we wouldn't have attracted all these new players in our country," concluded the Minister of Finance.