Kiwibank has gone live with open banking for its business customers two days ahead of its original schedule, becoming the first of the major banks to offer the standardised API connections that allow third-party fintechs to build services on top of its systems.
Kiwibank has beaten the big four banks to open banking, going live with both payment and data sharing services for business customers on May 28 — two days ahead of its original schedule and significantly ahead of competitors who have around 12 months still to meet the same standard for business accounts.
The rollout means Kiwibank business customers can now connect their accounts to third-party apps through standardised application programming interfaces, or APIs. The bank has been working with local fintechs including Wych, Volley, and Akahu to deliver the connections, with services covering areas like payroll, invoicing, and cash flow management. From launch, Kiwibank business customers can access apps through Akahu such as PaySauce, which handles payroll and compliance.
What open banking actually means
Open banking is a regulatory framework that requires banks to share certain customer data — with the customer's permission — through standardised APIs that third-party providers can build on. Rather than each bank building its own tools, the idea is that fintechs can create apps that work across multiple banks simultaneously. In New Zealand, open banking went live for retail customers in December 2025, with the big four banks — ANZ, ASB, BNZ, and Westpac — already meeting that standard. Kiwibank's May 28 launch puts it well ahead of competitors who have around 12 months still to meet the same requirements for business accounts.
Why it matters for small businesses
Kiwibank chief customer officer for business Elliot Smith said the open banking model was designed to let fintechs innovate rather than requiring the bank to build every service itself. "Innovation doesn't just happen in the banks," he said. "It's got to happen in the environment that everyone's involved in — not just banks." The bank said businesses in markets like the UK and Europe had been early adopters, attracted by the potential for automation, cost savings, and better cash flow management.
The practical effect for a small business owner using a compatible app is that they can see all their accounts in one place, automate payments, and pull transaction data into accounting tools without manually exporting statements. For now, uptake will depend on which apps customers find and choose to connect — the infrastructure is there, but the range of services available will grow as more fintechs integrate.
This article is for general information only and is not personalised financial advice. Seek advice from a licensed financial adviser (registered on the FSPR) for guidance specific to your situation.