ISLAMABAD: The National Data Source as well as Registration Authority (Nadra) has introduced contactless biometric confirmation services for the banking and payments market, making Pakistan one of the very first countries on the planet to execute the technology on nationwide degree.
The service was introduced during a visit by State Financial institution of Pakistan (SBP) Governor Dr Reza Baqir to the Nadra headquarters here on Thursday.
Banks will certainly make use of the electronic app on smart devices recording and also verifying biometrics of the possible account holders from their houses. With the intro of this digital innovation, the financial system will take a standard change, adding the remote biometric recording modern technology to the electronic financial system.
The service is at first extended to five financial institutions chosen by the SBP for a pilot task. Other banks and also totally SBP-licensed EMIs (Digital Cash Institutions), after conclusion of required procedures, will additionally be consisted of in the pilot run. As soon as the pilot is finished, this solution will be included all banks/EMIs, claimed a press release provided on Thursday.
SBP governor sees unlimited potential in new technology to get to underserviced population
The SBP governor said: “This brand-new mobile-based verification service for financial institutions as well as Electronic Money Organizations is in line with SBP’s economic incorporation effort while producing chance for rapid on-boarding using remote identification and also e-KYC features.”
He included: “Early adoption of this new innovation has unlimited potential to reach in the direction of underserviced populace while it extends an excellent benefit to the monetary market as it will certainly decrease the operational expenses, aiding in releasing stress on banks which have actually been negatively impacted throughout this pandemic.”
In his address, Nadra Chairman Tariq Malik claimed: “We are addressing the demand of the hr during this on-going pandemic. This new technology makes contactless fingerprint procurement and matching possible using a wise mobile phone, providing an option to traditional methods of conducting electronic economic deals that may require specialist devices or visits to financial institution branches/franchises. Nadra is proud to maintain its track record for presenting niche technical trends in the country. It is an additional step in the direction of our aim of developing a robust National ID Eco System in Pakistan.”
Financial institutions have started development work to utilise this new service launched by Nadra last week. Nadra will also be providing this service to the EMIs as well as branchless banking providers. Capitalising on Nadra’s innovative product, the banks and EMIs are likely to start offering new digital banking services to its customers whereby customers will be able to open bank accounts and wallets and conduct biometric-based financial transactions using their mobile phone cameras from the ease of their homes.
“This will not only revolutionise how banking and payments services are offered in the country but will also compliment the financial inclusion drive,” Mr Malik said.
Nadra introduced a similar mobile verification service for Online ID Services (Pak ID) earlier that was launched by Prime Minister Imran Khan on Sept 1, 2021.