The National Bank of Ethiopia has unveiled two ambitious initiatives in collaboration with the country’s flagship digital ID project, “Fayda”.
In the upcoming fiscal year, the first initiative aims to onboard all customers in the financial sector onto a robust digital ID platform. By doing so, the initiative seeks to create a more secure and inclusive financial ecosystem for all parties involved. To that end, the digital ID will serve as a “primary Bank ID”, according to the initiatives’ official announcement, and will be legally accepted across all financial institutions.
Running parallel to the first initiative, the second initiative focuses on leveraging the digital ID for electronic Know Your Customer (eKYC) processes within the financial sector. By employing this digital identity verification system, the initiative aims to enhance service delivery standards, facilitate trusted digital services such as Remote Onboarding, and eliminate unnecessary barriers.
Ethiopia’s Fayda initiative is a pioneering digital identification project designed to establish a universal and personal identifier for accessing a range of public services. In partnership with the World Bank’s Identification for Development (ID4D) program, the project aims to issue IDs to both citizens and residents of Ethiopia. Biometrics specialist TECH5 is involved in the project, with citizens being asked to provide fingerprint, iris, and face scans.
The “Fayda” digital ID derives its name from the Amharic language, where it signifies “value.” Alongside essential information such as an individual’s date of birth, gender, address, and photograph, Fayda will serve as a comprehensive digital representation of identity for every Ethiopian.
Currently in a trial phase, Fayda has so far seen at least 20,000 citizens enrolled. And with the National Bank’s newly announced initiatives, it appears that many more will follow suit.
July 11, 2023 – by the Mobile ID World Editorial Team