NEW DELHI: Aadhaar-enabled electronic know your customer (KYC) process should be "firmly established" as the acceptable KYC , a panel with representatives from all financial sector regulators has proposed. "The committee recommends that Aadhaar-enabled e-KYC (a paperless process) where the subscriber can authorise the UIDAI electronically, through Aadhaar authentication to provide a digital identity document to the requesting entity be firmly established as the acceptable KYC standard," the report of the household finance committee said. "We also suggest that the process of electronic collateralisation will become far easier once the DigiLocker can be used by households to provide evidence of ownership of assets," the report said.DigiLocker is a platform for issuing and verification of documents and certificates in a digital manner. Users get a dedicated cloud storage space linked to their Aadhaar number.Organisations registered with DigiLocker can push e-copies of documents and certificates (driving licence, voter ID, school certificates, etc) directly to individual lockers. Users can then provide permission, and share these documents.It said an impediment to widespread adoption of e-KYC is that there is often significant uncertainty in firms' interpretation of regulatory standards about electronic verification and settlement.

Source: Times of India August 27, 2017 00:22 UTC