Even while policy solutions to address de-risking are being implemented, new technologies have emerged to address de-risking by increasing the efficiency and effectiveness of AML/CFT compliance by financial institutions.
Recent advances in the scope and sophistication of identification systems could have far-reaching consequences for development. While there is no one-size-fits-all approach, there are common features that ID systems should share if they are to support development.
Identification Revolution: Can Digital ID Be Harnessed for Development? offers a balanced perspective, covering both the benefits and the risks of the identification revolution, and pinpointing opportunities to mitigate those risks.
Fuel Subsidy Reform in Developing Countries: Direct Benefit Transfer of LPG Cooking Gas Subsidy in India
India’s reform of household subsidies for the purchase of LPG cooking gas stands out for a several reasons. The paper provides a detailed picture of the reform through its various stages, including how the process was conceptualized, coordinated, and implemented. It analyzes how such a reform must be able to adapt to concerns as they arise and to new information, how digital technology was used and how it is possible to use a voluntary self-targeting “nudge” to defuse potential resistance to income-based targeting.
Elections have emerged as a leading area for the application of biometric technology in developing countries, despite its high costs and uncertainty over its effectiveness. This paper finds that a reduction in the probability of post-election violence by only a few percentage points could offset the cost of the technology. However, this is possible only in particular situations.
This paper surveys 160 cases where biometric identification has been used for economic, political, and social purposes in developing countries. One primary conclusion is that identification should be considered as a component of development policy, rather than being seen as just a cost on a program-by-program basis.
Building a Biometric National ID: Lessons for Developing Countries from India’s Universal ID Program
India’s Universal ID program seeks to provide a unique identity to all 1.2 billion residents. Its successes and potential failures will have far-reaching implications for other developing countries looking to create national identity systems.