Confidential | NSDL e-Gov

NSDL e-Governance Infrastructure Limited

Unique ID authentication and

e-KYC services by

NSDL e-Gov

A presentation on

Making Investments Relevant

to Every Juan:

e-KYC

October 16, 2017

Confidential | NSDL e-Gov

• IDBI Bank Ltd.

• NSE Strategic Investment Corp Ltd.

• Specified Undertaking of UTI

PROMOTERS

• State Bank of India

• Oriental Bank of Commerce

• HDFC Bank Ltd.

• Axis Bank Ltd.

• Deutsche Bank A.G.

• Union Bank of India

• Citicorp Finance India Ltd.

• HSBC Ltd.

• Standard Chartered Bank

• Dena Bank

• Canara Bank

SHAREHOLDERS

Promoters and Shareholders

Confidential | NSDL e-Gov

Established in November 1996 as a CSD

Developed state-of-the-art national infrastructure

Identified by the Government of India for developing various e-Governance solutions

Developed and managing various IT enabled Greenfield projects

About NSDL e-Gov

Transformed capital market operations in India

Confidential | NSDL e-Gov

Registrar for Unique

ID ProjectTIN

On behalf of ITD

GST

Pilot project on

behalf of MoF

CRA – NPS

On behalf of PFRDA

Data Centre Services(Tier III & IV class)

CASOn behalf of

Election Commission of

India

NJRSOn behalf of CBDT

EzeeWillOnline Succession

Planning Service

NSDL e-Gov Initiatives

e- KYC

Servicese-Sign

Services

Confidential | NSDL e-Gov

Specialist in creating Greenfield ecosystems

360 degree technology solutions

Service Point Management

Solution Architects for e-Governance

Proven Expertise as a MSP

Expertise in managing Large Systems & DBs

Strengths & Expertise

Confidential | NSDL e-Gov

Statistics

Depository

Investor accounts 16 million

Value of Securities 3 trillion USD

Tax Information Network

PAN Cards Issued 180 million

Taxpayer Records filed 700 Million

Central Recordkeeping Agency - NPS

Pension cards issued (PRAN) 18 million

AUM 340 million USD

e - KYC

Total No Of Transactions 220 million

e- Sign

No of Users 6 million

e-Sign Used 7 million

Confidential | NSDL e-Gov

NSDL e-Gov Contribution - Summary

Conceptualised, designed, implemented and operated e-Governance

Projects using State-of-the-Art technology

Assisted the Government authorities to improve transparency and enhance efficiency

Trusted Record keeper

Developed a G-to-C system to reduce Turn Around Time and providing

effective service delivery

Security and Scalebility

Confidential | NSDL e-Gov

e-KYC (e-Know Your Customer) is the process of verification of Proof of Identity and Proof of Address in an electronic

format through the e-KYC ID of the customer

e - KYC ID Authentication

Demographic information shared for successful e-KYC verification– Name, Address, Date of Birth, Gender,

Photograph, Mobile No. etc..

e-KYC services

A 12 digit e-KYC

number is issued

e-KYC no. along with e-KYC

holder’s personal identity data

(biometric or demographic)

information is submitted to e-

KYC authority and the

authority responds with the

details

e-KYC

authentication is to

enable customers

to provide their ID

for Financial

Inclusion

Services

Confidential | NSDL e-Gov

Stakeholders in e - KYC Ecosystem

Central

KYC

Authority

KYC

User

Agency

(KUA)

KYC

Service

Agency

(KSA)

e – KYC ID

Holder

Owns and manages

the Repository that

contains the Personal

Identity data of the e-

KYC ID holder

Entities that have a

secure leased line

connectivity with the

Authority and who

transmit requests on

behalf of one or more

User Agency.

Any entity that uses

authentication service

to enable its services

and connects to the

Authority through a

Service Agency

Customers who have a

valid e - KYC ID

Confidential | NSDL e-Gov

Why e-KYC?

Manual process of KYC (Know Your Customer) is time consuming

Unable to establish correct identity

Large number of bogus accounts or identities may be created to get extra benefits or hide correct information

Biometric based validation can root all bogus accounts from system leading to huge savings

Confidential | NSDL e-Gov

Benefits of e-KYC services

Promotes paperless

environment

No risk of forged documents

Authorization of customer thereby

protecting his privacy

Compliant with latest standards notified in IT Act

Real time and instantaneous

results

Elimination of paper verification,

movement and storage

Confidential | NSDL e-Gov

Execution Model

Central KYC

Authority

Service

Provider 1Service

Provider 2

Service

Provider 3

User

Agency 4

e-KYC

Holder 1e-KYC

Holder 2

User

Agency 3

User

Agency 2

User

Agency 1

Confidential | NSDL e-Gov

Technology

Confidential | NSDL e-Gov

e-KYC Authentication

Customer visits

the user agency

and provide his

biometric

information

(fingerprint or iris)Front-end application

of the User Agency

captures e-KYC ID

along with the

biometric of

customer and forward

the details to the

service agency in a

prescribed format.

Service agency

shall forward the

details to the

authority for output

Authority validates

the file received

from service

agency against the

database

Authority

forwards the

output to user

agency via the

service agency

Confidential | NSDL e-Gov

Key Success Factors and Risks

Success factors

• No human intervention required in end to end processing

• Reliability as information is received from the Authority

• Data security as information is in encrypted format

• Scalability

• Instantaneous response

• Paperless transactions

Risks

• Data Security

Confidential | NSDL e-Gov

S o l u t i o n

Access Management & Segregation of DutiesAccess Control

Restricted

AccessData Privacy Authorised

Access

Authenticated

Access

Network Security

Physical Security

IS

O 2

70

01

Application Control Versioning Data integrity Audit Trail

Firewall SSL

Operating System Hardening Patches Access Control

Zoning

Zonal Security

Solution Security Design

Confidential | NSDL e-Gov

THANK YOUe-Governance for a better world