This week’s edition Finovate Global looks at the latest fintech developments in Germany, where green banking, embedded finance and open banking are topics at the top of the fintech headlines this week.
First, the Berlin-based sustainability-as-a-service innovator environmentalist announced that it was merged with the Slovak financial institution Tatra Banka. Climate engagement fintech will provide Tatra Banka with the technology the firm needs to launch new green banking functionality in its online banking brand, Blue planet. The new feature, which will be available to more than 600,000 Tatra Banka customers, will allow users to monitor the environmental impact of their transactions (e.g. CO2 emissions), giving users ideas on how to reduce their environmental impact. impact, and offer rewards for spending that is environmentally friendly.
Founded in 2020, ecolytiq demonstrated its technology at Finovate’s developer event, FinDEVr 2021, which was held that year as part of FinovateSpring. By putting accurate data at the center of the ability to move toward greater environmental sustainability, ecolytiq demonstrated how its open knowledge graph and streaming technology keep data relevant and up-to-date. Most recently, the company announced a strategic partnership with Exceet Card Groupmakers of eco-friendly payment cards made from wood, and teamed up with French environmental neobank Green-Got next month.
Peter Golha, director of Tatra Banka, said the institution believes it has a role to play in the transition to a more environmentally sustainable economy. “We have not only a chance to change our own trajectory, but also an opportunity to live the theme of sustainable development together with our customers,” said Golha.
Founded in 1990, Tatra Banka was the first private bank in Slovakia. The winner TREND Bank of the Year two years in a row, Tatra Banka announced this spring that it had received made the biggest profit to datereporting $164 million (€162.1) in consolidated profit for fiscal 2021.
Second, the German business finance management platform Airbank signed a deal with Klarna Kosma this week. Klarna Kosma is an open banking platform launched by a Swedish e-commerce innovator Klarna this spring. Considered a competitor by other Finovate graduates To ring and its open banking platform Klarna Kosma offers financial institutions, fintech companies and merchants connectivity to more than 15,000 banks in 24 countries worldwide through a single API. Kosma was made possible in many ways by Klarna’s acquisition of direct interbank payment company SOFORT in 2014, and Klarna has been developing and expanding the service ever since.
“Over the past year, the demand for Open Banking services from financial institutions and fintech startups has reached a tipping point,” said Klarna Kosma Vice President Wilko Klaassen. “(That’s why) we’ve created a dedicated business unit that brings together engineering, product management, sales and marketing into one team to focus on this fast-growing $15 billion market.”
Airbank will use its new relationship with Klarna Kosma to “accelerate” its expansion into European markets and beyond. Airbank allows businesses to consolidate their bank accounts in one place, allowing them to more easily automate account management, make payments and manage their finances. Companies can also use the Airbank platform to track their financial transactions and forecast future liquidity. The partnership with Klarna Kosma will enable Airbank to gain secure access to account information from thousands of banks around the world, expand more aggressively and better serve SME customers with global demands.
“By the end of this year, we will be serving more than 50 countries, making Airbank the most comprehensive global banking solution for SMEs in the industry, with the ability to connect bank accounts from virtually anywhere in the world,” said Christopher Zemina, founder and CEO of Airbank. said. “We are delighted that Klarna Kosma is an experienced and dynamic partner who shares our ambition to shape the future of B2B financial management.”
Finally, earlier in the week we learned that Berlin-based embedded finance startup Monite had united with Codat, a UK-based firm that offers a universal API to enable access to compliant business data from banking, accounting and e-commerce platforms. The partnership will enable SaaS platforms and financial institutions to integrate invoicing and invoicing functionality into their applications. This will enable platforms and institutions to offer enterprises a unified solution to manage their financial transactions.
In a statement, the CEOs of Monite and Codat praised the wide variety of financial applications and platforms designed to serve SMEs. The problem, according to Monite CEO Ivan Mariasin and Codat CEO Pete Lord, is that the variety can be overwhelming for many small businesses. “What’s still missing are ‘super apps’ that bring everything together,” Maryasin said. “It can take a long time to manage and get the most out of everyone,” Lord agreed.
Monite, founded in 2020, raised $7.8 million in funding for its technology that enables financial institutions and platforms to offer financial services to their customers, such as multi-bank services, AP automation, invoicing and more. London, UK-based Codat moved closer to unicorn status last month after raising $100 million in Series C funding. The investment brings the company’s total funding to more than $176 million and values Codat at $825 million . The round was led by JPMorgan Partners, and participated with Plaid and Shopify.
Founded in 2017, Codat kicked off the year with the announcement of a partnership with Moody’s Analytics to activate lending to small businesses.
Here’s our take on fintech innovation around the world.
Asia-Pacific region
Sub-Saharan Africa
Central and Eastern Europe
- Austrian fintech Helu.iowhich specializes in providing financial solutions for SMEs, has raised more than $10 million in Series A funding.
- rubicon, fintech headquartered in Albaniaannounced the expansion of partnership with Mastercard.
- Latvia CrassulaCloud banking software company teams up with Canadian open banking solutions provider Salty edge.
