2014 CIBN Annual Lecture

2014 CIBN ANNUAL LECTURE
IDENTITY MANAGEMENT: A CATALYST FOR THE NEW
ECONOMIC AND FINANCIAL SERVICE
TRANSFORMATION.
Sir, Demola Aladekomo,
Managing Director,
Chams PLC
Outline
1.
Introduction
2.
Who is a Nigerian?
3.
How others see Nigerians
4.
The corruption Perspective
5.
The rule of Law Angle
6.
A problem not well stated
7.
The reputational and trust issues
8.
Economic and Financial quagmire
9.
Managing the Nigerian Identity: The Federal
Government approach
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Demola Aladekomo MD Chams PLC:
Identity Management @ CIBN
2
Outline
10.
What is Identity Management?
11.
Case for Multi dimensional approach towards
managing Identity
12.
The Bank Verification Project
13.
Chams PLC involvement and approach to
Identity Management
14.
The National Identity Management Project
15.
Conclusion
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Demola Aladekomo MD Chams PLC:
Identity Management @ CIBN
3
Introduction and Recognitions
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Demola Aladekomo MD Chams PLC:
Identity Management @ CIBN
4
Chams PLC: National Identity Projects
Bank Verification Number
(CBN /Bankers Committee KYC initiative)
Partnerships with more than 12 States
Residency Identity, Staff Audit, Payroll, NYSC, IGR etc
University/Education Partnerships
Identity, Payments, NQR, Confirmme, CEEDs, JAMB etc
National Identity Management Commission (NIMC) Project
INEC’s Voter Registration, Voters Roll & Cards,
Call Centers & Verification Terminals
NCC SIM Registration & Data Revalidation for Telcos
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Demola Aladekomo MD Chams PLC:
Identity Management @ CIBN
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Who is a Nigerian?
CIA Fact book 2014 –
NIGERIA
• Population Size – 174m
• Below 25 years –
108million.
• Percentage - 62.5%
• Median Age – 18.2years
• Growth rate – 50% by
2030
YOUTHXPLOSION!
Youth more than oil WILL
be Nigeria’s biggest asset
Overzealous
Daring
Creative
Envied
Ambitious
Highly dynamic
Aggressive
Obstinate
Garrulous
Bold
Extrovert
Entrepreneurial
Surefooted
Critical
Cynically admired by others
Optimistic
Energetic
Despite it all, Yes, We are Nigerians!
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN
6
The Nigerian Perception Problem
 From the BBC Africa twitter hash-tag campaign
#onewordNigeria, the top ranking words that were used to
describe Nigeria are
 Corruption - ranked 1st
 Boko Haram - ranked 2nd
 Great - ranked 3rd
 Great Nation - ranked 4th
 Fraud - ranked 5th
The
unknown
1%
KPMG AFRICA FRAUD BAROMETER
(1.745m)
 Nigeria is the most fraudulent African Country
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN
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The Corruption Perspective
‘Corruption is not Nigerian nor peculiar to Nigeria’
World Corruption Index
Source: transparency International corruption
perception index for 2013
Top 10 E-Commerce Fraudelent
Nations
Source: Sift Science 2013
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN
The Rule of law
 The Evan vs Evan Enwerem saga –
 Who stole the Goat
 James Ibori vs James Onanefe Ibori –
 Acquitted in Nigeria, convicted in the UK
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN
A problem not well stated
174.5m unknown Nigerians
The 1% Nigeria identity dilemma! 1.74M
problems
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN
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Economic and Financial Quagmire
No data &
No identity
No/Poor
planning
No
No
subsistence
Jobs
No
No credit & No
Capital
Expansion
Survival of the
fittest
Chaos and
Anarchy
No
development
“Imagine a country where nobody can identify who owns what, addresses cannot be
verified, people cannot be made to pay their debts, resources cannot be conveniently
turned into money, ownership cannot be divided into shares, descriptions of assets are
not standardised and cannot be easily compared, and the rules that govern property
vary from neighbourhood to neighbourhood or even from street to street.”
Hernando Desoto; The Mystery of Capital,
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Managing the Nigerian Identity:
FGN Approach
 1976 - The first National ID conceptualized by OBJ
 1998 – FG sought out Chams for National ID
 1999 – First successful National ID Pilot done. 1million cards
issued out of the 52.5m cards.
 2001 – Project scuttled.
 2002 – The Sagem National ID card project
 2007 – NIMC and the Concessionaire
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN
What is Identity Management?
Past
Present
Future
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN
Case For Multi-dimensional Approach To
Identity Management
Births, Deaths and
Marriages
National Voter
Registrations
National Health
Insurance Services
and records
Education and
Examinations
Motor Vehicle /
Driver License
records
Residency for States
Revenue / Taxation
data
Visa, Immigration
and Borders control
data.
 No system/nation depends on a single register to meet its needs
 Multiple sources, Cross verification, Regulatory & Practical imperatives
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN
Bank Verification Number Project
N159bn lost between 2000 - 2013 owing to electronic
Fraud
The introduction of the Basel 3tier KYC to the Banks by
the CBN - October 2012
The BVN Project kick off/ Launch in November 2013
and February 2014 respectively
The Chams-Dermalog consortium sucess
What the BVN project holds for us as Nigerians:
CRMS, Credit Bureau, Mortgage & Leasing etc
Source: Financial Institutions Training Centre(FITC)
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN
Chams PLC Involvement in Identity Management
1991
1993:
1994
1996
How failed Wide Area Networking led us to innovate
Birth of electronic purse in Nigeria & the attendant customer
identification challenge
Nigeria’s first corporate PVC card was issued to Dangote.
First actualization of e-payment in Nigeria with 6 Nigerian Banks and the
creation of Smart Card Nig. Ltd (later became ValuCard now UPSL)
1998
The National ID journey begins and the first ever successful pilot
achieved April, 1999
2006
The INEC intervention and the Federal government commendation
and recognition. – 70m cards produced in 90days 2007
2007
The National Identity System proposition, the concessionaire
2012:
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Focus on Identity base solutions and systems for other sectors of the economy,
Demola Aladekomo MD Chams PLC:
solutions for the corporate
Nigeria,
states @
and
other agencies of Government
Identity
Management
CIBN
16
The National Identity Management Project
 The Obviously Won & Lost Bid
 Failed National ID – Sagem Saga
 Consumer Credit initiatives & Credit Bureau push
 The Bid – invitation by President Obasanjo
 The ChamsConsortium bid success
 The Concession and its myriads of issues
 The Chams Investments and Contributions thus far
 Getting the National ID project back on track: A must
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN
Conclusion (1/2)
 The importance of identity management
 Multi dimensional: States, Agencies, Banking etc with NIMC later
 The National Identity project: Exponential growth in our economy
and improved quality of life through welfare benefits
 NIMC: Return to the Concession Model & Contracting stopped.
Justice & fairness
 We are not ‘Federal Republic of MasterCard’ , we remain Nigeria
 BVN must be accelerated and to support NIMC once completed
 Technologies & Expertise domiciled and domesticated
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN
Conclusion(2/2)
 Expected Results: Rule of Law, Access to good education &
healthcare,
 Mortgage & leasing: Mystery of Capital?
 Economic Transformation: Jobs, Credit, FDI, LIC, Formalization etc
 Seamless Financial Services Delivery: Ease, Trust & Non-repudiation
 Proud Nigerians ready to be accepted globally
May not look it now with our corruption perspectives, political missteps & inept management of resources, soon, with the massive
entrepreneurial youthful generations following us, the works you our
Bankers are doing & success of a refreshed NIMC in Identity
Management, Nigeria will be the great nation of our dreams.
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God bless you all
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN
Thank you
Demola Aladekomo,
[email protected]
www.chamsplc.com
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Demola Aladekomo MD Chams PLC: Identity Management @ CIBN

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