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Open Banking Security Risks in Algeria
Algeria’s financial sector is embracing the concept of open banking, which allows customers to share their financial data with multiple service providers. While this offers greater convenience and choice for consumers, it also poses significant security risks.
Key Challenges Facing Algerian Banks
Customer buy-in
Establishing trust with customers who will be sharing sensitive financial information with external parties is crucial.
Security breaches
The open banking model increases the risk of phishing attacks and data theft, as customer data is released outside the traditional banking system.
Personally identifiable information (PII) exposure
Inadequate handling of PII data can compromise the security and privacy of customers.
KPMG’s Open Banking in Control Framework
To mitigate these risks, KPMG has developed a comprehensive framework that addresses 10 critical building blocks of the open banking model. This framework helps Algerian banks establish a strong internal control environment, ensuring compliance with regulations and limiting operational and reputational risks.
Benefits of Implementing the Open Banking in Control Framework
Improved customer trust
By establishing a robust security framework, Algerian banks can gain customers’ confidence and loyalty.
Compliance with regulations
The framework ensures that banks meet strict regulatory requirements, reducing the risk of non-compliance fines.
Reduced operational risks
By identifying and mitigating potential risks, banks can minimize the impact of security breaches and data theft.
Why Choose KPMG?
KPMG has a proven track record in IT auditing, operational reliability, risk management, cyber security, and privacy. Our team of experts includes:
- Data specialists
- IT auditors
- Cyber security and privacy experts
- Lawyers
- Ethicists
With over 155,000 colleagues in 144 countries, we have the expertise to meet your specific needs.
If you’re looking to secure customer trust and comply with regulatory requirements while embracing open banking, contact Paul Kromhout, director of Risk Consulting Financial Services, to discuss how KPMG can help.