The UAE has been one of the slowest markets to approve electronic payments, however an urge by the administration to recommend more e-governance services and the adoption of more secure technology is now slowly reversing the style.
According to a recent research and assessing 33 countries, UAE is among those most speedily moving towards a cashless society. It also has one of the quickest boosting payment schemes of the countries studied.
The UAE regime has constantly encouraged the use of electronic payments through its smart government initiative. Nevertheless now it’s taking a step further with its strategy to ease payments through the Emirates ID card.
Emirates Identity Authority (Eida) is presently performing with other industry stakeholders to facilitate payments through identity cards and introduce digital signature authentication got secure transactions through smart- phones. It is also planning to make possible the use of ID cards as potential ATM cards in the upcoming.
In order to test its practicality, Eida commenced a pilot project with Al Hilal Bank in December last year that enabled the bank’s customers to use their ID as an ATM card. This cooperation will widen in the near future, culminating in the use of the identity cards for e-payment transactions at different sales stores.
The use of ID cards for e-payments is also approximated to facilitate counter online scam in the country by giving a valid digital distinctiveness.
The infrastructure is so advanced that the minute you put in the ID card in an ATM machine or at a point of sales terminal, there is an online confirmation. This is almost the same to credit cards however you are getting the authentication directly from the government.
Even though card security interests in the region could be alleviated to an extent by such administration efforts, specialists believe that encroachments in the world of technology could open up a host of other channels, which could complicate things.
In the future, you could see payments made by wearable technology, for instance, which in turn would require banks and card companies to find new validation systems.
It was highlighted that the significance of simplifying technology for users when working with the most modern innovations. The focal point should be on using technology to make the experience better.