Starting this month, the Unique Identification Authority of India (UIAI) will begin the long process of matching each of its billion-plus citizens with a unique ID number. The number will be tied to three pieces of biometric data: fingerprints of all 10 digits, iris scans of both eyes, and facial recognition software. The system will be under the brand name "Aadhaar."
The plan hopes to ID 600 million people within the next four years. Citizens will not be required to be digi-tagged (my word, not theirs), but you will need the ID number to sign-up for a growing array of state services.
Aadhaar is largely being sold as a means to empower the vast swath of the Indian population living below the poverty line. While to the western eye, this is a huge expansion of centralized power, the official website makes the contrary argument, that Aadhaar empowers the poor by using new technology to bypass traditional economic infrastructures to sync millions more into the new Indian economy.
The Unique Identification number (Aadhaar), which identifies individuals uniquely on the basis of their demographic information and biometrics will give individuals the means to clearly establish their identity to public and private agencies across the country. It will also create an opportunity to address the existing limitations in financial inclusion. The Aadhaar can help poor residents easily establish their identity to banks. As a result, banks will be able to scale up their branch-less banking deployments and reach out to a wider population at lower cost.
An efficient, cost effective payment solution is a dire necessity for promoting financial inclusion. The Aadhaar and the accompanying authentication mechanism coupled with rudimentary technology application can provide the desired micropayment solution. This can bring low-cost access to financial services to everyone, a short distance from their homes.
If the service becomes anywhere near ubiquitous (keeping in mind, even a fraction of India's billion-and-growing population is far larger than the population of most countries), the service will inevitably evolve to facilitate other interactions including payments, marketing, and--possibly, frighteningly--tracking.
http://www.gearlog.com/2010/09/big_indian_brother_india_creat.php
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