Sunday, April 26, 2020

COVID-19 and Aadhaar EKYC revival

The COVID -19 pandemic will have a huge impact on the Indian economy. The Indian economy is expected to lose RS 32000 crore daily during the lock-down period. Govt of Indian has announced a variety of measures to handle the situation. This includes RBI injecting RS 374000 crore to country's financial system and various other measures. Among them, the Aadhaar EKYC revival is one of them.

Before COVID -19 only Banks were allowed to use Aadhaar EKYC (AUA / KUA) from UIDAI.  But now govt has issued orders to extend the usage to other sectors like Insurance and stockbroking industry. This is because Aadhaar authentication has proved to be the most seamless customer on-boarding procedure we ever had. And also it supports touch-less on-boarding with OTP / IRIS scan options. This makes the life of salespeople easy during the COVID 19 situation where everyone is afraid of getting infected.  Even to use biometric scanning, the interface can be sanitized before each transaction. So for the Indian Finacial system to come back, every industry should have an easy and trusted customer on-boarding.

The original circulars and Gazette published documents are as below.

Ministry of Finance Gazette Number 22042020-219106

Ministry of Finance Gazette Number 23042020-219113

SEBI Circular OP/CIR/P/202

We think that in near future govt will allow other regulated entities like NBFC / Telecom /  Broadband /  Microfinance etc too to get the nod for EKYC as it is the need of the hour.

We, Finahub, are experts in Aadhaar related products and services like eSign, eKYC, Authentication, etc. If you want to know how your enterprise can start using it, please give us a call  @ 0484 2388285 or email us at [email protected]