The Aadhaar project Unique Identity and Its Positive Externalities for Inclusiveness 16 th January 2013 UIDAI

UIDAI’s Mandate To provide Unique ID Number to all Residents – Enrolment is a one time process for the resident – Establishes Uniqueness Provide online, cost-effective, ubiquitous authentication services across country – Authentication is transactional – Establishes identity – To be done at the time of availing a benefit

UIDAI issues unique IDs … Property of UIDAI - Highly confidential 3 UID  Unique number  Random number Basic demographic data and biometrics stored centrally Central UID database Standardized identity attributes No duplicates(1:N check) Flexibility to partners on Know Your Resident (KYR)+ Name Parents Gender DoB PoB Address

… and authenticate IDs online, real-time Property of UIDAI - Highly confidential4 Central UID database 1:1 check, no ID fraud Only YES/NO response, no details Authentication - ‘Are you who you claim to be?’

On-line Authentication 1.On-line Authentication service validates the identity of the Aadhaar holder using fingerprint, iris and mobile based authentication methods. 2.The UIDAI has built an On-line authentication system that can service crore of authentications on a daily basis. Response time is a few seconds. 3.This system is a first worldwide, and has addressed the challenges of biometric technology at such scale. Online authentication without a card enables rapid adoption. 5

Where are we today… Resident Digital Identity Started issuing in Sept million Aadhaars issued so far About 300 million residents enrolled Target – 600 million by 2014

Status as on 16 th January 2013…

Enrolment centre, Andhra Pradesh

Enrolment Centre, Jharkhand

What is in a number? Service Delivery Potential of Aadhaar

Service Delivery potential due to Authentication Transactions normally require verification of identity Aadhaar online authentication will provide a common platform which can be used across all transactions and other applications. Entitlements should reach the intended beneficiary – non-transferability can be ensured This can be effectively done by authentication at the point of service delivery Many domains will be able to use as a proof of presence for the beneficiary : Attendance, proxies in the examinations

Mobile connectionsBank A/Cs, Insurance, etc. State Government Services Aadhaar as common e-KYC platform LPG Connections 3 Train Travel 5 ? Your application 6

1.The Aadhaar e-KYC service instantaneously provides KYC data (name, address, date of birth, gender, photograph) of the beneficiary upon successful Aadhaar authentication. 2.The e-KYC data can be used for seeding of Aadhaar in the Government databases. 3.The e-KYC data can be used by Banks and India Post for opening instant accounts or linking existing accounts. 4.The e-KYC platform can scale up to lakhs of transactions on a daily basis Aadhaar e-KYC Service

Applications ecosystem Key eco- system partners State govern- ment & financial services IT services Consulting Financial services Telecom services Enrolment hardware Offline apps H/WOnline Applications hardware Logistics Greenfield apps and investor ecosystem Wave 2: Initial application – PDS, NREGA, State services, energy, financial services Central govt & registrars Wave 1: Enrolment & infrastructure creation Consumers Wave 3: Mainstream applications - Healthcare, education, financial services and consumer applications including utility services and telecom PPP & consumers Wave 4: Next generation applications Key funding source

All direct cash transfers into one account Aadhaar Payments Bridge Multiple Schemes One Aadhaar linked account

End-to-End DCT Enabled by Aadhaar Pension MGNREGA Scholarship xxxxx Radha xxxxx yyyyy Radha xxxcccc Radha Bank Aadhaar to de-duplicate databases 4. Withdraw from any MicroATM 2. Aadhaar as KYC to open bank account Aadhaar Payment Bridge 3. Aadhaar as a payment address 5. End to end traceability and auditability

Interoperable cash withdrawal points Interoperable cash withdrawal points CURRENT FUTURE

Government ‘puts in’ money using an Aadhaar Beneficiary ‘takes out’ his money using same Aadhaar and his biometric End-to-End Traceability through Aadhaar Enabled DCT

MNREGA payments through Micro- ATM in Jharkhand

Old age pension payment in Tripura

Aadhaar and e-Commerce

Identity and Address Verification Strongly verifying customer identity and address for Cash-on-Delivery Truly supporting 1-click shopping for Aadhaar verified customer accounts Instead of error-prone, and inconvenient 2-factor authentication schemes of today, potential to use Aadhaar pre-authenticated account / token as one of the factors Address validation, normalization for shipping/billing addresses

Aadhaar as Unified Identifier 23 Customer transaction history (orders, returns, cancellations, CoD refusals, etc) analytics Targeted and personalized commerce, campaigns, promotions, etc through unified identifier Stronger fraud detection systems across e- commerce players Credit worthiness system Mobile to Aadhaar linkage for mobile e- commerce

Electronic Payment 24 Aadhaar allows paperless, instant provisioning of bank accounts and electronic payment instruments complying to regulatory requirements Every Aadhaar holder will have a bank account and some sort of electronic payment instrument as part of financial inclusion drive India spends billion USD as direct benefit eventually hitting bank accounts of Aadhaar holders All these taking potential customer base to go up by times or more in a year or two!

Aadhaar and Social Inclusion Aadhaar identity platform and Aadhaar enabled mobile applications can help a billion people to participate in digital economy and avail services tailored to them!

Thank You