Identification Management in Nigeria: Innovations for Financial Inclusion

Ms Ogochukwu (Ogo) Monye, a law lecturer at the University of Benin, Nigeria and a doctoral candidate at the University of Cape Town, South Africa was awarded the 2019 Udo Reifner Prize for the best abstract by a young doctoral scholar for her paper titled “Identification Management in Nigeria: Innovations for Financial Inclusion,” which discussed the important issue of lack of documentation that impedes numerous Nigerians from accessing financial services. The abstract of her paper follows below:

In Nigeria, about 41.6 percent of the population of the country lacks access to formal financial services according to the Central Bank of Nigeria. Studies have shown that apart from factors such as distance to banks, financial illiteracy, irregular income, unemployment and complexity of account opening; lack of proof of identity documentation debars a significant number of persons from accessing finance. This paper seeks to address the last issue as a significant factor of financial exclusion in order to help citizens more easily fulfil mandatory Know-Your-Customer (KYC) checks as well as facilitate access to additional financial products including loans, pension and insurance. Significantly, this is in line with goal 16.9 of the United Nations Sustainable Development Goals (SDG) which envisions a legal identity for all by the year 2030. Notably, the National Identification Management Commission (NIMC) was established since 2007 to oversee all matters of citizens’ registration. So far, the commission has only succeeded in registering about 30 million Nigerians out of the total national population of approximately 198 million. The doctrinal method of research is employed as mostly legal literature and regulatory guidelines and policies are utilised. Furthermore, the author will draw examples from the regulatory landscape of other jurisdictions such as Pakistan, Peru and Uganda where positive strides have been achieved in the sphere of national registration. In Pakistan for instance, 98 per cent of the target population has been captured in the national identification programme including socially disadvantaged groups aided by a wide array of mobile registration agents comprising hikers, van drivers, mountaineers, bikers and skiers to locate citizens even in the most remote locations. Similarly, Uganda has attained 99 percent registration even though the programme was only commenced in the year 2014. The author proposes a self-sustaining universal national identification system that provides Nigerians with the needed foundational identity to access financial services with a view to achieving financial inclusion. The paper proposes an efficient national identification system that is cost-effective, inclusive and recognises the unique socio-cultural and demographic characteristics of Nigeria. The shortcomings of the existing identification system such as funding strategies, mode of registration and logistics management are highlighted. The paper proposes more effective means to reach excluded populations through an efficient national identification system founded on new and existing technology including biometrics, blockchain and the Internet of Things. The paper is expected to contribute to the growing body of literature on improving national identification and the global conversation on financial inclusion bolstered on an effective national identification system. Furthermore, the recommendations are intended to foster socially inclusive gains in several other sectors including agriculture, health and social security. Finally, even though this work is specifically focused on Nigeria, the findings offer veritable lessons for other nations grappling with financial exclusion by reason of inadequate or unsuitable identification systems.

 INTERNATIONAL TRAVEL CONSUMER PROTECTION IN CHINA, JAPAN AND KOREA: CAN THE FIAGC MODEL HELP IN ASIA? 

China, Japan and South Korea are important forces to promote development in Asian tourism and are significant tourist regions with great potential all over the world. In light of the statistics, in 2014, the number of exchange visitors among those three states reached 20 million 470 thousand. The scale of inbound tourism of three states accounted for nearly 60% of the total inbound tourism in the Asia-Pacific region. Huge market scale for the tourism industry created brand-new opportunities, but also encountered a lot of problems. During May Day holiday 2016, several Chinese tourist groups were cheated by the Japanese guide for shopping in a “Duty Free” shop which is specific for Chinese tourists and buying the health care products with price 3 times higher than that on the normal shop, but they did not know how to complaint in a strange place. In Seventh October 2016, thousands of visitors from china to Jeju Island in Korea were excluded and detained due to Visa problem, even though Jeju Island is a Visa-free area for Chinese visitors. Under such circumstances, the governments of China, Japan and Korea need solve lots of problems under the condition of regional cooperation. For instance, how to create a securer tourism environment and provide better travel services for tourists, and how the tourists protect themselves When their rights have been infringed in other two states. Regarding the area of regional consumer protection, FIAGC Model, as the regional institutions established by Latin American governments, Portugal and Spain, devoting to analyzing and discussing on consumer protection and development including travel consumer, is the world’s most advanced regional cooperation platform for consumer protection. This paper seeks to show the Asia-Pacific region can take the FIAGC Model as reference to establish a dialogue platform between the governments and further to promote cooperation among the states for protecting the rights and interests of travel consumers.