Page 141 - The Digital Financial Services (DFS) Ecosystem

ITU-T Focus Group Digital Financial Services
Ecosystem

KENYA – Third Generation National ID
Challenges with enrollment or use of the Not specified
program by women:

% of the enrolled who are women: Not specified

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Challenges with enrollment or use of the Minority groups & rural residents. No challenges are reported for 3 generation
program by other populations: enrollment; however reports of discriminatory registration practices against
Nubians, Kenyan Somalis, and coastal Arab minorities were widespread for the 2
nd
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generation ID. In addition, it was reported that limited resources undermined reg-
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istration efforts in rural communities.
Cost/Person: Not specified
Challenges with Implementation or Program: No challenges are reported yet for the 3 generation program. Challenges with the
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2 generation program included:
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• Accountability: Reports circulated that many registration centers charged fees
much higher than the official amount set by the government.
• Coverage: Regardless of size or population, all districts received equal funding
preventing adequate coverage in especially large districts.
• Enrollment: All registrant ID applications had to be sent by mail to a central
registration center in Nairobi. ID cards were then supposed to be sent back to
registrants from Nairobi in 30 days. In practice, this process could take as long as
two years. 19

Process for responding to implementation Not specified
challenges:

FUNCTIONAL USES OF PROGRAM
Financial Services (including Social Transfers)
• Digital banking/Mobile Money: in Kenya, customers of M-Shwari—a mobile phone savings platform—who have national IDs
are entitled to higher maximum savings balances and access to credit. A successful match of a customer identification number
against the central IPRS database means a customer is entitled to accounts that can hold KES 250,000 (instead of the usual KES
100,000). They are also qualified to borrow from the Central Bank of Africa, because they have gone through a stronger verifica-
tion process. 20
• KYC: national identity cards are an accepted form of identification at banks, and their presence has been cited as helping to
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facilitate financial agents’ compliance with KYC regulations. In addition, beneficiaries of Kenya’s Hunger Safety Net Programme
must present an ID card to verify identity before receiving cash transfers. 22
Health Services
• None specified. Kenya’s national ID system does not appear to be well-integrated with health functions. It issues separate iden-
tity numbers to track HIV patients. In addition, national IDs are not used to track patients through the healthcare system.
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Instead, a private sector company has developed a standalone health card/infrastructure for that task. It is now known
whether the 3 generation ID card will be more effectively linked with health.
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Election
• Voter registration: ID cards are required in order to register to vote. 25
Surveillance and Security
• Passport: ID cards may be used for as a “passport” for travel between the five members of the East African Community
(Burundi, Kenya, Rwanda, Tanzania, Uganda).
• SIM Registration: in order to activate a SIM or register for mobile money services, ID cards must be presented and customer
identification numbers are required to be confirmed against information in the central registry.
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1 Kenya National Commission on Human Rights, 2007, Ligami, 2014, Ibid, Mutegi, 2014, Ligami, 2014, Ibid, Ibid, Ibid,
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Ibid, Mutegi, 2014, Ligami, 2014, Ibid, Ibid, Soft Kenya, 2012, Ligami, 2014, Ibid, Refugees International, 2008,
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18 Kenya National Commission on Human Rights, 2007, Ibid, Cook & McKay, 2015, Cracknell, 2012, World Bank, 2013,
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UNAIDS, 2009, Homeland Security News Wire, 2011, Bier, 2013, Mark, 2015.
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