Wednesday, February 23, 2011

India's UID poject opens up rural areas for economic development

Rural India catches fancy of IT vendors (ZDNet Asia)
The government, through its e-government initiatives, is emerging as a major driver for IT adoption. As part of its National E-Governance Plan project, the government has collaborated with IT companies to establish the National Information Infrastructure, where State-Wide Area Networks, Common Service Centers and State Data Centers are being established to provide connectivity and technology access throughout the country.
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The Tripura Gramin Bank (TGB), for instance, opened several mobile bank branches to provide banking services in Indian villages. It issued biometric cards to disburse wages under the Mahatma Gandhi National Rural Employment Guarantee Act, as well as pension under the National Old-Age Pension Scheme (NOAP). The devices are equipped with a fingerprint verification system, allowing rural residents to withdraw their payment with a thumbprint impression on a touchscreen.
If India is to assume the role it envisions for itself in world affairs, it must push the digital economy out into rural areas. Moves like those described in this article would not have been possible without India's UID project whereby India is giving everyone in the country a meaningful ID backed up with biometrics.

India's population is 70% rural and 39% illiterate. Extending an ID to everyone can help bring the 70% into the modern economy; using biometrics can help the 39% who can't read make more meaningful use of modern services that are increasingly delivered electronically.