Open Banking in France: allons y 

How a mandated API and the roll-out of real-time payments will boost Open Banking adoption in France.

France is rapidly embracing Open Banking, reshaping its financial sector through innovation, regulation and collaboration.  

Driven by PSD2 and national initiatives, French banks are opening their systems to third-party providers, enabling quicker, more convenient, personalized payments.  

While adoption was initially cautious, strong regulatory support and growing demand for digital solutions are driving change.  

We look at how Open Banking is evolving, the opportunities and challenges ahead as la belle France moves towards an increasingly open future. 

Banking sector in France 

There are five main banking groups operating in France today: BNP Paribas, BPCE, Crédit Agricole, Groupe Crédit Mutuel-CIC and Société Générale. These French banks are among the eurozone’s top ten banks. In addition, La Banque Postale, a subsidiary of the French post office, offers a range of financial services, including retail banking and insurance products. 

Local bank presence is a hallmark of French banking thanks to the network of around 33,500 branches. Bank branch numbers are falling, yet at a slower rate in France compared to the eurozone on average. France saw a 20% reduction in branches between 2008 and 2023, compared to nearly 50% across the eurozone, says the ECB. 

1 in 3 bank branches in the eurozone is in France. And over 99% of French people have a bank account compared with 95% in the eurozone, while 36% have more than one account. While one-third of French people visit a bank branch quarterly or more often, digital banking has seen a big increase.  

Nearly 80% of French people had downloaded at least one banking app at the time of the last Fédération Bancaire Française (FBF) survey in 2023. That’s a 24-percentage point increase since 2018. And 94% of French people use online or mobile banking to track account activity, budget and manage payments.  

So what? The hybrid banking model still holds sway in France with more than 80% of people combining in-person banking at branches with digital banking.  

Open Banking leans into this by making digital bank payments quicker and simpler. When integrated at checkout, account-to-account (A2A) transfers are potentially a 3-step process. Customers select bank transfer, find their bank and confirm payment. That’s it. 

Shopping habits in France 

E-commerce sales in France have more than tripled in the last decade, according to Statista. France is now the third largest e-commerce market in Europe behind the UK and Germany. E-commerce accounts for 10% of total retail sales in France, with further headroom for growth. 

As to how the French pay online, digital wallets from global brands, such as Apple Pay, Google Wallet and PayPal led the way with 34% of spend, according to a Worldpay report. Meanwhile the bank-backed European Payment Initiative (EPI) launched its own A2A digital wallet, Wero, in France in October 2024.  

French customers are now able to send and receive funds through instant A2A payments in less than 10 seconds through their banking app and the Wero app. Domestic A2A payment method Paylib is scheduled to be discontinued in 2025.  

With strong political backing from a consortium of European banks, wero could well become Europe’s go-to digital wallet to rival US networks, such as Visa and Mastercard. 

So what? In 2024, more French people funded their digital wallets from a bank account (44%) than from credit cards (24%) and debit cards (16%) combined, says Worldpay. This bodes well for the launch of wero in France and the rise of A2A payments generally.  

Payment habits in France 

The French are slowly going cashless. The average Frenchman/woman has €50 in cash in their wallet at the start of the day, according to an ECB study published in 2024. This puts France among the eurozone’s most cash-less, with only those in Finland (€47) and the Netherlands (€35) having less cash on hand. 

Unsurprisingly for the nation that invented chip cards, the most popular digital payment methods in France are cards (83%) and mobile payments (10%), an ECB study finds. A good roll-out of contactless cards and terminals has helped cards maintain their relevance in France.  

Debit cards topped all payment methods, accounting for nearly half of in-person spending and one-quarter of online spending in 2024. Meanwhile credit cards were used for around 25% of in-store and 20% of online spend, says Worldpay.  

So what? Payment habits are strongly national even, and perhaps especially, for international payments. At the same time, people like what’s familiar and the least hassle. 

Open Banking gives French consumers and businesses a better way to make local bank payments to sellers globally. And it gives sellers access to hundreds of banks and thousands of customers accounts in France through a single integration. 

Open Banking opportunities in France 

If the number and nature of Open Banking third-party providers (TPPs) per country indicate the maturity of the ecosystem and direction of travel, France looks in good shape. It had 32 home-regulated TPPs in Q1 2025, putting it #2 behind Germany. And a total of 176 TPPs, the fifth highest within the EEA, according to Konsentus.  

What’s more, France has mandated adoption of the STET API. Developed by major French banks, the STET API provides authentication, authorisation and fraud detection services. This level of standardization and technical connectivity will help accelerate Open Banking adoption still further in France. So much so, Token predicts that the proportion of French consumers using online A2A payments will jump from 24% in 2024 to 63% by 2029. 

Real-time payments will further catalyze and complement Open Banking adoption. Although late to the real-time party, the French market for instant payments is set to grow at an impressive CAGR of 39% by 2028, according to ACI data. 

So what? UK and Germany lead Open Banking adoption in Europe, but France is closing in. More and more institutions are now offering A2A services. The STET API guarantees Open Banking connectivity and the roll-out of a real-time payment infrastructure will further enhance the Open Banking proposition.