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UIDAI to partner banks to co-design financial products

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BS Reporter Chennai/ Hyderabad
Last Updated : Jan 20 2013 | 1:30 AM IST

The Unique Identification Authority of India (UIDAI) is looking at the possibility of partnering public sector banks to co-design Aadhaar-enabled financial products, VS Bhaskar, deputy director general of UIDAI, said here on Thursday.

“We are currently weighing this option and would sign memoranda of understanding (MoUs) with banks at an appropriate time to implement the same,” he told mediapersons, while refusing to comment further.

UIDAI today signed an MoU with State Bank of Hyderabad (SBH), following which it will act as a registrar for the unique identification project Aadhaar. According to the agreement, SBH, the 16th bank to be roped in by the UIDAI so far, will execute the enrolment exercise through its over 1,200 bank branches spread across 14 states and two Union territories.

SBH has also been allotted five districts in Andhra Pradesh for the implementation of smart card project for EBT (electronic benefits transfer) payments. The payment through the EBT mode will start by the end of next month.

Stating that SBH had drawn a detailed road map for the implementation of the financial inclusion plan, SBH managing director Renu Challu said the bank would be covering 318 villages in Andhra Pradesh and Karnataka with 1.4 million population in Phase I, which will be completed by March 2011.

“In Phase II, we will be covering the remaining 750 villages with a population of 3.13 million. This would be completed by March 2012. Implementation of the total financial inclusion plan will be through kiosk and point-of-sale model, facilitating both enrolment and operations,” she added.

“Of the total 1.3 million beneficiaries, we have so far issued 900,000 biometric smart cards -- which also have a provision for UIDAI -- as part of the financial inclusion plan. Whether we can use the same card for UIDAI that has to be looked at, going forward,” she said.

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First Published: Nov 26 2010 | 12:01 AM IST

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