NIRA and Central Bank of Somalia Sign MoU to Enhance Financial Services and National ID Integration

NIRA and Central Bank of Somalia Sign MoU to Enhance Financial Services and National ID Integration

Today, the National Identification and Registration Authority (NIRA) and the Central Bank of Somalia officially signed a Memorandum of Understanding (MoU) to strengthen collaboration and enhance public access to financial services. This pivotal agreement marks a major step forward in ensuring that all financial services provided by institutions across Somalia will now be linked to the National ID.

During the signing ceremony which held at the Central Bank Headquarters, the Governor of the Central Bank, Mr. Abdirahman Mohamed Abdullahi, underscored the significance of the National ID in advancing the country's financial services sector. He emphasized that the absence of a unified National ID would hinder Somalia's engagement with international financial systems.

NIRA’s Director General, Mr. Abdiwali Ali Abdulle (Timacadde), expressed gratitude to the Central Bank for its ongoing collaboration. He also highlighted the development of NIRA’s "Hubiye" system, a digital platform that facilitates secure customer verification for banks and financial institutions across the country.

Key Highlights of the MoU:
1. Enhanced Access to Financial Services: The MoU ensures that Somali citizens and legal residents can use their National ID to access a range of financial services from banks and other institutions.

2. National ID as Primary Identification: The National ID issued by NIRA will now be one of the primary forms of identification accepted by financial institutions.

3. Data Security and Protection: The agreement prioritizes the security of customers' personal data, ensuring that data shared between NIRA and financial institutions is securely managed to prevent unauthorized access.

4. Facilitation of Public Registration: Financial institutions will now offer on-site registration for the National ID, allowing their customers to register at select bank branches.

5. Collaboration on Identity Verification: NIRA and the Central Bank will jointly implement the Hubiye Verification System, ensuring customers' identities are verified accurately during financial transactions.

6. Support for Inclusive Financial Services: The MoU encourages banks and financial institutions to provide services to all members of the public, including those in remote areas, using their National ID to enhance financial inclusion.

7. Preventing Fraud and Identity Theft: The MoU introduces robust measures to prevent fraud and identity theft by requiring verified identities for financial services.

8. Data-Sharing Protocols: Strict protocols will guide the sharing of personal data between NIRA and financial institutions, ensuring it is done with individual consent and only when necessary.

This MoU represents a significant milestone in Somalia’s efforts to streamline and secure financial services while ensuring that Somali citizens and legal residents have reliable identification and protection for their personal data. Both NIRA and the Central Bank have committed to working together to further improve the efficiency and accessibility of identification and financial services in the country.