016 017 TREND #05 The API Economy APIs make it possible to plug into and build from of bankers agree that their organization’s Enabling %API strategy is instrumental to their brand, and 73% believe that in five years’ time Financial others' innovations. ecosystems will have shared responsibility for a brand, according to Accenture’s 70 Banking Technology Vision 2017 report. Inclusivity Through APIs APIs (application programming interfaces) are the digital world’s connective tissue. They’re the In July 2017, Visa expanded standard by which companies its mobile payment platform, mVisa, to include Nigeria. exchange data and build smart, Designed for both smartphone seamless, omni-channel experiences and feature phone users, the customers demand. mVisa platform promotes financial inclusivity. To make a purchase, Now, it’s no longer necessary to smartphone users scan a QR code available at the point of aspire to own the entire value chain. sale and then input the amount Companies can focus on one link in to be deducted. Feature phone the chain, and plug into existing users will be able to do this using APIs to create the bigger picture. alphanumeric codes. Multiple building blocks combine One of the major barriers to act as a single proposition that to the progress of mobile adds value for the consumer. In this payments in Nigeria is the general misunderstanding of way, APIs deconstruct traditional and lack of trust in electronic value-chain thinking. payment systems. mVisa will help consumers feel more in control of In commerce experience design, the process and their money. APIs expand opportunity for And the system is cost-effective innovation. A company can combine and easy for merchants to set up. its own APIs with externally So now they no longer have to available building blocks to create worry about spending $400 on POS systems—or passing transaction a new solution more efficiently. fees onto their customers. APIs can also be viewed as a more The mVisa implementation in efficient, more scalable distribution Nigeria has benefited from the channel. A good API platform allows Visa Developer Platform, which allows participating partner a company to deliver the most- banks to integrate the mVisa needed capabilities of more APIs directly into their mobile comprehensive products. banking apps.