Open Banking in Hungary

Open banking in Hungary

In September 2019, PSD2 went live in the EEA.The fintech scene in Hungary is still new but it has been growing rapidly over the last few yearsand Hungarian banks already offer open banking.

What is Open Banking and PSD2?

Open banking is banking practice that securely shares financial information such as consumer banking, transactions and other financial data to third-party financial service providers (Estevez, 2020). Sharing data is done through the use of application programming interfaces (APIs) and only with the consent of customers (The Balance, 2020). Open banking is the drive behind both innovation and competition in the financial industry (Cahill, n.d.). 

PSD2 is a European Directive that regulates electronic payment services, was implemented in all EEA countries in 2016 and went live in September 2019.

Open Banking in Hungary

The fintech scene in Hungary is still new but it has been growing rapidly over the last few years. Hungary’s fintech sector has grown to around 130 companies with more than 6,000 employees (Budapest Business Journal, 2021). Nearly 90% of these companies provide B2B services (Emerging Payments, 2020).One of Hungary’s most notable success stories is from 2014 with the acquisition of IND Group by Mysis in 2014 (Budapest Business Journal, 2021). 

Almost every bank in Hungary maintains innovation programs and aims to collaborate with Hungarian startups (Emerging Payments, 2020). In 2018, Magyar Nemzeti Bank launched an Innovation Hub and its Regulatory Sandbox framework in order to maintain a risk free environment for testing innovation while also promoting innovation (Emerging Payments, 2020). In 2019, the central bank created a FinTech Strategy which included 24 recommendations to improve the environment and promote digitisation (Emerging Payments, 2020). 

Hungary has a Modern Enterprises Program which provides businesses in rural areas with  services designed to help them join the digital economy and increase competitiveness (DESI, 2020, 10). More than 11,000 companies have taken part in this initiative (DESI, 2020, 10). 

Of all Hungarian citizens using the internet, 58% use the internet for online banking, which is 8% below the EU average (DESI, 2020, 9). Additionally, on integration of digital technologies, Hungary ranks 26th among EU countries (DESI, 2020, 10). Furthermore, Hungary ranks 24th in the EU for digital public services (DESI, 2020, 12). 

Hungary has a total of 42 banks, the largest of which include OTP Bank and K&H Bank. 

How Does Open Banking Work?

Open banking uses an API that allows financial institutions to exchange financial data, usually through a third party-developed application (Estevez, 2020). These applications are developed by up and coming FinTech companies with the mission to improve digital banking.

To access and use the open banking APIs in Hungary, you will need to acquire an account information service provider license, issued by the relevant authority. Furthermore, you will require a relevant certificate (QTSPs or eIDAS), compliant with PSD2 requirements. Alternatively, you can use an open banking platform, such as Nordigen


The Balance. (2020, October 11). What Open Banking Is and How It Will Affect You.

Budapest Business Journal. (2021, May 27).Hungary's fintech sector expanding rapidly. Budapest Business Journal.

Cahill, H. (n.d.).InvoiceFair. The Evolution of Open Banking: Connectivity breeds digital competition.

DESI. (2020). Hungary.Digital Economy and Society Index (DESI) 2020, 1-13.

Emerging Payments. (2020, August 11).Fintech scene in Hungary at the time of coronavirus. Emerging Payments.

Estevez, E. (2020, August 27).Open Banking. Investopedia.


Here is a list of major banks providing Open Banking in Hungary


Here is a list of major open banking platforms in Hungary


Nordigen is an authorised Account Information Service Provider. We provide free access to bank data and premium data insights, using regulated PSD2 connections.