Azerbaijan’s Central Bank to introduce digital identification system

The process of introducing a digital identification system based on blockchain technology in Azerbaijan will be completed by the end of 2019, Farid Osmanov, director of the information technology department of Azerbaijan’s Central Bank (CBA) said at the IV International Banking Forum in Baku, Trend reports Nov. 6.

Osmanov said that this system will be commissioned in the first quarter of 2020.

The CBA representative noted that the project will help to increase the level of security of personal data transmitted to credit organizations, and will also allow most operations to be carried out remotely.

Osmanov added that at first there are plans to switch to the remote opening of accounts for legal entities and individuals.

“Other banking services will follow, and at the final stage it is planned to automate the monitoring of funds aimed at financing terrorism and money laundering,” the CBA representative said.

“The direct result of all this will be the transition of the CBA to open banking,” Osmanov noted.

The two-day IV International Banking Forum, one of the most prestigious financial and banking events in the region, is taking place in Baku with the support of Azerbaijan’s Central Bank, the Financial Market Supervisory Authority (FIMSA) and the Center for Analysis of Economic Reforms and Communications.

The forum brings together heads of regulatory and control bodies in the financial and banking sector, leading managers of commercial banks and other participants of the financial sector.