on the crypto
Also the Sierra Leone has decided to start on the road of the Blockchain, in order to exploit its undoubted potential to promote its economic development. In fact, the local government has just announced its intention to introduce a national identity system based on this technology by the end of the current year, thus allowing its citizens to relate more easily to institutions and promoting that financial inclusion that for too many Africans is still a mirage.
The announcement was made Julius Maada Bio, president elected in the 2018, which he indicated in National Digital Identity Platform (NDIP), developed in collaboration with the United Nations and the nonprofit financial services company Kiva, the tool that can make the implementation of the plan valuable.
A two-phase experiment
The same president then tried to explain the procedure adopted, which will take place in two distinct phases. The first has already been completed with the digitization of identities, while in the second one the digital identities established as a nationally recognized unique identifier, or the National Identification Number not duplicable or reusable, they will help in reporting and researching credit, also acting as a single source of reference for each delivery service that will take place in the country.
Purpose of the initiative: to increase financial inclusion
The main purpose of the new national digital identity system is to help financial service providers to actually view the credit history of who intends to open an account or access a loan, in order to ascertain the real possibility of paying the repayment plan. A sort of guarantee that should help the real economy, allowing many families and businesses currently excluded from the credit system to be able to obtain resources at affordable prices.
Maada Bio himself then specified how access to credit and financial services is capable of significantly improving the lives of citizens by making them able to withstand financial shocks, and to strengthen and expand the private sector, that is the backbone of every modern economy.
A very important step
For the African country, this is clearly an extremely important step on the path of innovation. A step that in the intentions of the government should have returns above all in terms of formation of a class of new entrepreneurs able to interact with the credit system, so as to have the financial resources available to be able to cultivate their dream. In particular it aims to include in this process also sectors until now excluded from economic life, such as women, young people and people with disabilities. All without giving up anything on the principles of autonomy of Sierra Leone and protection of data collected by the system. The data on each person residing within the country, in fact, will be archived at theNCRA (National Civil Registration Authority) where they will be protected in the strictest confidence in line with the guidelines developed by the government and with international practice.