New Zealand has begun the phased rollout of regulated Open Banking, a shift the Government says will accelerate lending processes and give consumers greater control over their financial information.
The regime is established under the Customer and Product Data Act 2025, with detailed regulations released in October to set out industry requirements.
Commerce and consumer affairs minister Scott Simpson said the launch “opens the door” to a wide range of new tools for households and businesses.
The regulations require ANZ, ASB, BNZ and Westpac to have key Open Banking systems operating by 1st December 2025.
Kiwibank must be ready for payments by June 2026 and for broader Open Banking services by December 2026.
Simpson said: “From budgeting tools to faster mortgage comparisons and low-cost payment options, the opportunities and innovations presented by Open Banking are endless.”
Simpson said consumers will be able to share their financial information safely with accredited third parties, enabling faster mortgage applications and easier switching between banks.
He said: “Open Banking makes it easier to switch banks by giving customers a safe, regulated way to share their financial information. It will make mortgage applications faster by allowing third-party services to securely gather the right financial documents in one place, especially helpful for people with accounts across different banks.”
He also pointed to expected benefits for small businesses seeking new financial management options.
Simpson said: “Small businesses will also benefit from more choice in financial management and invoicing tools, helping them get paid faster and access innovative, lower-cost payment solutions.”
The Ministry of Business, Innovation and Employment is overseeing the accreditation process for data requestors, who will receive a verification mark once approved.
Simpson said the regulatory design draws on established models overseas and maintains strong consumer safeguards.
He said: “The regulations, released in October, align with global best practice and build on successful models in Australia and the UK, where Open Banking has sped up home loan approvals and enabled new consumer-friendly apps.
“Importantly, the regulations ensure that security of consumer data is paramount. Data can only be shared under the customer’s explicit consent, and third-party requestors (such as fintechs) must be accredited by the Ministry of Business, Innovation and Employment.”