Financial Sector Backs NIDS for Digital Economy

Jamaica’s financial sector is strongly supportive of the National Identification System (NIDS), recognising it as a vital tool for reducing risk and fostering the country’s digital economy.
NIDS is designed to provide a comprehensive and secure framework for collecting and storing identity information.

In 2022, the Government signed a Memorandum of Understanding (MOU) with deposit-taking institutions to support pilot implementation of NIDS.

Representatives of the Jamaica Bankers Association (JBA) signed on behalf of member banks during a ceremony at the Office of the Prime Minister.

Executive Director of the National Identification and Registration Authority (NIRA), Dr. Warren Vernon, tells JIS News that several deposit taking institutions (DTIs) have already begun accessing the sandbox.

“[This] is really a test environment, and some of them are actually doing testing with what we call the APIs (Application Programming Interface)… the software required to facilitate the verification and disclosure of identity information,” he states.

“They are calling us and they would like to do it because they understand clearly the value that this thing is going to bring to them… how it is going to help them to be able to digitise some of their services and how to establish trust, because they, too, have problems with identity information,” the Executive Director adds.

Dr. Vernon notes that many fraudulent transactions could be curtailed if identity information is secured with a very high level of assurance.

“So, I have no doubt, based on the level of interest, that they will come on board to leverage and utilise the national identification cards. So, our job is to continue to build out the partnership with them. Our job is to help them to leverage the APIs, so that they can automate the verification. For those entities that are not in a position to automate, we will now have to provide them access to the online portal where they can do verification without implementing complex infrastructure changes,” he states.

“So, without a doubt, I think the support from the financial sector has been great. We just need to continue to build on the gains, to make sure they leverage this critical tool. The private sector is important and critical. But what is also going to be critical, is the public-sector entities,” Dr. Vernon adds.

The Executive Director points out that several public-sector entities could deliver far more efficient and effective services by transitioning their operations to digital platforms.

He notes, however, that in order to digitise some of these processes, entities will need to leverage the national identification system and its verification services.

“One could say that going in line sometimes to execute certain high-risk transactions is really because they want to verify who you are. They want to make sure that this is Desmond Davis and not John Doe. So, sometimes they tend to look at the face of the ID and look at the face before them,” Dr. Vernon says.

“Some of them may know the people from prior interactions… the voice, they know the face… and all of that is a part of the assurance process. But in the digital space, we are giving you a tool where, even behind an electronic device, you can now verify who the person is using their biometric, using the face, using the fingerprints to facilitate verification of identity,” he adds.

The Executive Director reiterates that once the national identification card is presented, it is unlawful to reject the individual or request any other form of identification.

“We are now encouraging the public and private sector to start building services to leverage the automated verification and disclosure identity information. The important thing to note here is that the national identification card… represents an important step, in our view, for Jamaica to move forward in terms of delivering services continuously, where government entities can now digitise their processes and services, and to make government offices open to the public 24/7,” he states.

Dr. Vernon advises that most government digitised services, such as motor-vehicle registration, can now be accessed by individuals whenever they need to.

“So, you can see the value of delivering digital services to those who wish to access them and those who wish to enjoy the efficiency from those services. So, there is no doubt that this national identification card… will make services far more efficient. It will protect citizens’ identities and, certainly, it will support our country’s digital transformation,” he adds.

The National Identification and Registration Authority (NIRA) is entering its first full year of integrated operations, with a mandate to provide reliable identification for Jamaicans and all persons legally residing in the country.

This new public body is also tasked with delivering reliable civil registration services through the Office of the Registrar General.