“The world is becoming DIGITAL”

Every business no matter how small or big has to have some form of digital aid in order to function and grow. Governments world over are adopting digitalization to provide better services and promote inclusion. In the wake of such transformation many processes and functions are being conducted digitally, using mobile platforms.

Over the past decade the usage of technology has grown leaps and bounds. There are more mobile connections than people on the planet, and more people have access to a mobile phone than to a toilet.

The success of Digitalisation hinges on correctly identifying the user- to ensure transparency, security and delivery of service to deserved recipient. To ensure this Governments and Businesses have made “Know Your Customer (KYC)” mandatory. By embracing Digital Technologies, the traditional paper based KYC is transformed into a powerful eKYC – Electronic Know Your Customer delivering almost instant results and speeding up businesses.

What is eKYC?
Performing KYC process using a paperless solution is called e-KYC. It authenticates the customer, based on details provided by customer himself like digital copy of documents issued by government or regulatory authority

Ever growing need and complexities of eKYC
In order to minimise the errors, time, cost and resources spent on Onboarding/KYC process, it needs to be digitized. According to a study, the banking sector spends nearly $384 million annually on KYC compliance. Digital Onboarding/KYC needs legal regulatory backing and a separate set of compliance rules to be fully functional and successfully adopted.

An individual needs to have a legally acceptable digital identity in order to create a digital presence of real-world human being in the digital world. This identity helps the authorities in verifying and having forensic proof of the individual.

The eKYC process cannot be performed successfully with only legally accepted digital identity; there need to be a set of proper compliance regulations and legal framework.