Where does API management fit on the path to ISO 20022 adoption?

ISO 20022 is a universal standard for banking and financial services that aims to unify data communication across financial systems worldwide, impacting a wide range of financial activities such as foreign exchange trading and credit card payments. Its adoption, facilitated by organizations like Swift, requires financial institutions to transition from legacy systems, with a multi-year coexistence period allowing gradual compliance. API management plays a crucial role in this transition by enabling request transformation, schema validation, custom middleware solutions, and enhanced data analytics. These capabilities facilitate interoperability, compliance, and data integrity, making the migration process to ISO 20022 smoother and more efficient, which is essential for maintaining access to essential financial services. As the industry moves towards full adoption, API management tools will be key in simplifying the integration and leveraging the richer data structures for improved decision-making and fraud detection.