Banking GCCs and the Rise of Open Finance Platforms

Ten years ago, banks began to view their customers as ecosystems of needs after regulators permitted data portability. That ecosystem is now known as Open Finance, and the constructors of those engines are likely to remain unknown to most: Banking Global Capability Centers (GCCs). These GCCs are evolving from cost-arbitrage hubs to strategic command centres that create the compliance systems, data platforms, and APIs that power the upcoming financial services.

From Open Banking to Open Finance

Payment and account data sharing is what Open Banking started with; Open Finance extends this range to lending, wealth, insurance, pensions and embedded finance. This change turns siloed products into interoperable services that are positioned on consent-based data flows and API layers—the exact layers that Banking GCCs are being asked to develop and implement. Market projections emphasise the magnitude: the open finance/open banking market is developing too fast, and the predictions indicate the robust growth in the double-digit rates till 2025 and further.

The Role of Banking GCCs in Open Finance

Three high-value open finance activities are currently carried out by banking GCCs (bank and financial institution centers located in offshore/onshore hubs):

Develop the Plumbing—Cloud-native API platforms, developer portals, and secure data exchanges between banks, fintechs, and third parties.
Act in Compliance and Trust: Continuous regulatory testing and implementation of data governance and privacy-by-design that renders cross-border data sharing legal and auditable.
Rapid Productisation – Go on innovation sprints and data science teams that transform data to customization, credit insights, and embedded finance propositions.

These opportunities allow businesses to move banks out of product factories, and platform orchestrators and GCCs have the size and experience required to do so quickly and affordably. The GCC industry in India alone is expected to grow dramatically over the next ten years, according to recent industry research, which adds to its reputation as a global center of innovation.

Business Case Financial Advantages.

Banking GCCs is straightforward and compelling:

Cost Efficiency: GCCs have the potential to save their operating costs significantly (according to industry analyses, savings range up to 30 – 45 per cent when compared with onshore models of delivery).
Speed-to-Market: The continuous delivery and developer-led launch of centralised product teams in GCCs reduce cycle time in API and partner integrations.
Talent Depth: Open Finance capability allows banks to grow their requirements by accessing large pools of cloud, data, and security talent without needless spikes in hiring.
Export/GDP Effect: GCC exports have already developed a significant economic value and are expected to increase further as GCCs assume higher work responsibilities of open finance.

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How Banking GCCs Empower Open Finance

Strategic Role	Concrete Impact on Open Finance
API & Cloud Engineering	Rapid partner onboarding; Microservices (payments, KYC, and underwriting) that are reused.
Data Governance & Security	Credible consent control, anonymisation, regulatory audit.
AI & Analytics	Live rating of credit score, fraud detection, hyper-personalised offers
Compliance & Risk	Ongoing inter-jurisdictional regulatory testing.
Cost & Scale	30-45 per cent saving in operations, and quick scaling to peak demand.

Case Highlights and Short-Term Indicators

Major banks are already placing GCCs on open Finance agendas like API frameworks, consent managers and embedded finance pilots. The GCC’s growth and the banking technology workforce talent pipeline are also being accelerated by these policy changes, which include incentives by Karnataka states to expand global centres and national drives. These policy incentives, with the GCC growth projections, make it evident that Open Finance capability delivery will accelerate in the near future.

Future Perspective

The three years to come will witness Banking GCCs as key constructionists of two long-term trends:

BaaS is offered by modular API stacks that allow non-bank platforms to integrate financial products on a large scale.
AI-native financial services – The operationalised model of personalised credit, pricing and risk will be implemented as a continuous production process by GCCs.
GCC’s Interoperable Ecosystems – GCCs will knit regulatory sandboxes, identity networks and payment rails into cross-border Open Finance flows.

Open Finance is not a product but rather an operating model; the operating muscle is provided by GCCs. With GCCs taking on more engineering, risk, and product responsibilities, banks can become more competitive with fintech-native platforms without losing the trust of customers and regulators.

Conclusion

Global Capability Centres in financial services are no longer a convenient back office. They are tactical centers that transform information, talent and technology into reliable, scalable Open Finance platforms. Investment in GCC-cycle API platforms, compliance tooling and data science capability is no longer optional for banks planning their roadmap; this is how incumbents will stay relevant in a platform-first financial world.

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frequently asked questions (FAQs)

What is a Global Capability Centre (GCC)?

A GCC is an offshore facility of a multinational company that undertakes niche roles such as research and development, information technology service and strategic management.

What is the Stand-Up India scheme?

It is a government program that gives the women entrepreneurs up to 1 crore in bank loans to fund greenfield projects.

What are the challenges associated with women in tech?

Personal responsibilities and unconscious bias are the factors that lead to their mid-career attrition and slow them down in their careers.

What is the effect of women leaders in the innovation process?

They introduce new ideas, understanding, and team-oriented leadership that speeds up the advancement of such areas as AI and cybersecurity.

What does the future of women in the leadership of the GCC hold?

By 2030, women are expected to take up 25-30 per cent of GCC leadership positions, which will be paramount to the growth of the Indian market.

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Aditi

Aditi, with a strong background in forensic science and biotechnology, brings an innovative scientific perspective to her work. Her expertise spans research, analytics, and strategic advisory in consulting and GCC environments. She has published numerous research papers and articles. A versatile writer in both technical and creative domains, Aditi excels at translating complex subjects into compelling insights. Which she aligns seamlessly with consulting, advisory domain, and GCC operations. Her ability to bridge science, business, and storytelling positions her as a strategic thinker who can drive data-informed decision-making.