Ethiopia banks receive biometric kits to expand digital ID enrollment

Some commercial banks in Ethiopia have been handed biometric enrollment kits to support the National ID Program (NIDP) in the expansion of the Fayda digital ID.

The Ethiopian Bankers Association (EBA) recently distributed 2,000 kits to 31 banks in a ceremony which took place at the headquarters of the Commercial Bank of Ethiopia, Addis Fortune reports.

A total of 6,000 kits will be distributed, but the remining 4,000 are still being procured, through a tender process that was updated last month. The cost of the biometric kits is put at $17 million, with each portable kit box containing a facial recognition camera, scanners for fingerprints and iris biometrics, a laptop and lighting equipment.

According to the EBA, the initiative, which enjoys the collaboration of NIDP, is in line with a government directive issued at the start of this year making the Fayda digital ID a requirement for all banking operations.

The measure is being implemented in a phased manner with December 31 as the deadline for it to effectively go into effect nationwide. Not only is the move intended to strengthen the security of accounts and transactions, it is also aimed at enhancing financial inclusion.

It is expected that with banks helping in the enrollment process, the number of Ethiopian citizens with a digital ID will considerably increase in the coming months. EBA Secretary General, Demissew Kassa, is quoted as saying during the handing over ceremony that the kits will contribute to the government’s objectives of enrolling 40 million people for the Fayda digital ID before the year runs to an end. NIDP says it hopes to take the number of Ethiopians who have been issued the Fayda digital ID to 63 million by the close of the year.

The Fayda digital ID initiative is part of the Ethiopia Digital ID for Services and Inclusion project funded by the World Bank. With the rollout effective since 2023, the Bank believes the Fayda digital ID is already playing a major role in closing gender gaps and facilitating access to social protection grants by the government.

As a tool for social inclusion, the digital ID is also being issued to refugees and other forcibly displaced persons to facilitate access to social and economic services for them.

According to NIDP’s enrollment dashboard, 27.9 million persons have been issued the Fayda. More than 45 million digital Know Your Customer (eKYC) transactions have been completed using the system, while 91 agencies have been integrated.

Article Topics

Africa  |  biometric enrollment  |  biometrics  |  digital ID  |  Ethiopia  |  Ethiopia National ID Program (NIDP)  |  Fayda  |  financial inclusion  |  financial services  |  national ID