Digibank by DBS partners with the Ministry of Home Affairs Directorate General of Dukcapil

By Edil Corneille

Digibank by DBS has established its cooperation with the Directorate General of Population and Civil Registration (Dukcapil) of the Ministry of Home Affairs. The partnership entails recognizing the significance of accurate data validation and thereby utilizing the population data of Indonesia to provide a safe and easy banking transaction experience for the customer.

COVID-19 has increased the requirement of digital banking like never before. The banking sector of the country is expected to contribute to the acceleration of economic recovery. This needs to be supported by good data validation to ensure customer data security and the prevention of data manipulation or other indications of misuse of data.

The cooperation between the parties is to be raised by DBS in the process of Electronic Know Your Customer (e-KYC) through verification of population data and electronic ID cards. The technology provides a convenient process and more efficient because customers are not required to visit branches. The process is paperless and signatureless.

“The security and confidentiality of customer data is the top priority of Bank DBS Indonesia. Therefore, we seriously continue to develop customer data security technology, one of which is through cooperation with Dukcapil and operating under the supervision of the Financial Services Authority (OJK). The Go Digital Dukcapil Program which aims to bring the government’s commitment to implementing a Single Identity Number (SIN) closer is very helpful in accelerating our digital transformation,” said Managing Director of Digital Banking at PT Bank DBS Indonesia, Leonardo Koesmanto.

The steps and strategy of Dukcapil to accelerate the adoption of SIN is to standardize the Population Registration Number (NIK). At present 99.04 percent of Indonesia’s population has e-KTP as a single resident data that applies to the One Data Policy era.

“People need to be aware of the personal data they hold, and the community data held by various institutions. If we search for ‘KTP’ in cyberspace, millions of people will come out. Therefore, there must be concern between the community and the authorized institutions. All data user agencies, are required to keep and protect the confidential data of all customers. “There may be no buying and selling of data, no use of data is not in accordance with its purpose so that the utilization of data obeys the rule of law, and the protection of confidential personal data,” said Director General of Population and Civil Registration,Prof. Dr. Zudan Arif Fakrulloh, SH., MH

Along with the continued development of digital transformation, Dukcapil takes a central role in the e-KYC context by providing access to the verification of the truth of the identity of the population. This is done to protect various sectors implementing economic activities such as banking, insurance, and the trade industry from experiencing fraud. With e-KYC based on Dukcapil data, the level of document fraud in banking can be reduced so that the customer is ascertained as the right person and correctly recorded.

In the near future, Digibank by DBS plans to launch a Foreign Currency Account and the Secondary Bond feature to increase customers’ choice in saving and developing their finances. In order to support the utilization of population data in investment instruments and foreign exchange transactions, and given the increasingly diverse demands of digital banking, Dukcapil is taking steps to complete the construction of population big data, in order to increase the effectiveness and efficiency of public services.