Neil Parmenter, President and Chief Executive Officer of the Canadian Bankers Association (CBA), pushed for a hard look at the opportunities presented by “open-banking” at a presentation at the Economic Club of Canada in Toronto yesterday, January 15, 2019.
According to the Toronto Star, the CBA is seeking a more modern and efficient identification system that would link federal and provincial systems by way of a digital identification system utilizing: blockchain, biometrics and document review over live video. This move away from the paper-based, face to face system will transition the industry out of an outdated model and “unlock the full potential of the digital revolution that is underway” says Parmenter.
Untamperable solutions are becoming increasingly urgent for the industry. In a whitepaper entitled: Canada’s Digital ID Future – A Federated Approach, the CBA outlined the benefits of digital ID such as: cost savings, fraud reduction, improved regulatory compliance, enhanced privacy and to keep up to date countries moving closer to open banking. The paper calls for the industry to “harness the power of the private sector” to assist in forming the basis of ID procedures relating to the banking and finance sectors going forward.