Bahrain Leads Global Open Banking Innovation with Centralised Authentication System

A landmark three-way partnership between BENEFIT, Tarabut, and FLOOSS has introduced centralised open banking authentication and consent management in Bahrain, advancing the country's position as a global leader in open banking implementation.

Under the arrangement, BENEFIT, Bahrain's national electronic network and fintech company, serves as the primary authenticator for all open banking transactions in the country. When a consumer authorises a third-party provider to access their financial data, the authentication and consent process is handled through BENEFIT's centralised infrastructure, creating a unified experience regardless of which bank or fintech is involved.

FLOOSS, Bahrain's first digital financing provider, became the first company to leverage this infrastructure for commercial services, using real-time access to customer bank data to enable instant credit decisions. Rather than relying on historical credit reports, FLOOSS can assess a customer's current financial position based on live bank account data, significantly accelerating the lending process.

Tarabut, MENA's largest open banking platform, provides the technical API infrastructure that connects banks, fintechs, and BENEFIT's authentication layer. The three-way partnership creates a complete open banking ecosystem from infrastructure through authentication to commercial application.

The centralised authentication model distinguishes Bahrain's open banking implementation from approaches in other markets, where each bank typically handles its own consent and authentication processes. Bahrain's centralised system reduces complexity for consumers and fintechs alike.

The partnership builds on Bahrain's mandatory open banking framework, which entered force in September 2024 and requires all licensed banks to provide API access to authorised third parties.