Bank to use blockchain to improve financial inclusion
Launch of the PNG Submarine Cable in January 2020 is expected to bring major improvements not only in the telecommunication industry but also in financial inclusion.
This in turn, is expected to trickle down to other sectors of the economy as internet becomes cheaper in PNG and mobile communication and penetration improve.
Among the perceived improvements are reduced internet costs, faster download speeds and cheaper mobile handsets.
It is expected that as the price of mobile phones becomes cheaper more Papua New Guinean’s will be able to afford smart phones – giving owners a whole range of new opportunities that were previously unavailable to them.
This is the assumption that is bellying the roll out of a new financial inclusion project that will introduce a more secure identification of customers and the inclusion of more into the financial inclusion network using blockchain technology.
These were the shared remarks last week during a Media Q&A at the Hilton Hotel arranged by YuTru - a private-sector led digital trust framework, and open scheme for digital identification of people and businesses, operated by the Digital Identification Bureau Ltd.
Working under the auspices of the Bank of PNG, the aim of the scheme is to promote financial inclusion and economic and social empowerment in Papua New Guinea.
Saying the Bank of PNG is taking the lead in improving financial services and making them more affordable to the people, BPNG Governor Loi Bakani said: ‘challenges remain and we are working together to address as digital technology will take us through the century.’
‘We see YuTru as a medium for greater financial inclusion, one platform available to all clients at all financial institutions,” Governor Bakani said.
Tomorrow the Bank and its Digital Trust members will be launching Sandbox which is where digital Ids will be included.
The scheme harmonises how a functional digital identification is created and managed in the private sector, acknowledges the value of referrals and social networks in identity registration, and introduces new digital methods of identity matching and information sharing.
Working alongside the Bank of Papua New Guinea (BPNG), the PNG Digital Commerce Association (PNGDCA), and the Centre for Excellence in Financial Inclusion (CEFI); YuTru enables access to the formal financial system for people previously excluded.
YuTru will utilise the best of modern standards and technologies to digitally identify people in a way that is trustworthy, quick to adopt, convenient, and highly secure. YuTru’s aim is to digitally represent the fact that there is only one true You.