Digital Europe Programme explained: the financial data space


As part of the Digital Europe Programme, the European Commission aims to set up common European Data Spaces. These data spaces will each have a specific sectoral focus. In a series of news pieces, we will showcase each of those sectoral data spaces. In this article, we dive into the financial data space.

In general, the data spaces will connect currently fragmented and dispersed data from various ecosystems, from the private and public sectors. They will offer an interoperable, trusted IT environment for data processing, and a set of rules of legislative, administrative, and contractual nature that determine the rights of access to and processing of the data.

The objective of the financial data space is to boost the use of data for innovative technologies such as Artificial Intelligence and Machine Learning, and new services for users of financial data. This will aid both broad and liquid capital markets, including small and medium-sized companies (SMEs) in financing the economy in the wake of the pandemic. Also, having the financial data space in place will help assess the sustainability profile of financial instruments, ultimately mobilising sustainable finance.

With this data space, Europe aims to set up the preparatory steps for the creation of a European Single Access Point for financial and non-financial reporting data, a key priority action announced in the Capital Markets Union Action Plan and the Digital Finance Strategy. This access point demonstrates the technical feasibility, allows for the definition of a comprehensive governance model, and will help overcome the fragmentation of information, providing a single access point to public financial and non-financial information.

The number one deliverable is a prototype (based on a limited scope of information) of an ESAP-like architecture, which will include:

  • Technical infrastructure to link European and national repositories, registers, or databases to provide a single access point to the information they store,
  • First steps towards a cloud-based common data space in which financial or non-financial data is available and shared in a secure way,
  • An elementary model of multi-stakeholder governance that would support ESAP’s viability and success.

Curious to learn more? Access the Digital Europe Programme

Stay tuned for the next news piece on the data space for skills.

Digital Europe Programme explained: the financial data space
Image credit:
2020, Micheile via Unsplash

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