The New Zealand government has announced the expansion of Open Banking to business banking, enabling companies to share their financial details with approved third parties for a wider array of financial tools and services.

This news was shared by Commerce and Consumer Affairs Minister Scott Simpson and Small Business and Manufacturing Minister Chris Penk.

Building on New Zealand’s existing regulatory framework for Open Banking that started in December 2025, the initiative now includes commercial accounts. This move is expected to foster the development of fintech solutions like faster loan comparisons, automated accounting systems, streamlined payment methods, and real-time cash flow monitoring.

Benefits for Small Businesses

The government highlighted statistics from the UK showing that businesses utilizing Open Banking tools save about 150 hours annually on administrative tasks. The key areas addressed by this framework include cash flow management, loan accessibility, and manual reconciliation, all significant challenges faced by small firms.

Based on international precedents, it has been decided that banks will not be mandated to implement Open Banking for large corporations and institutional clients due to limited interest and practical applications in these sectors. The focus remains on supporting smaller businesses where the efficiency gains are anticipated to be more substantial.

Minister Simpson emphasized that this extension aims to simplify business operations, reducing paperwork and freeing up time for customer engagement and growth initiatives. Minister Penk underscored that Open Banking is designed to tackle multiple constraints faced by small enterprises at once, including lending opportunities, cash flow transparency, and administrative financial processes.