Government and RBI in discussion for use of QR code-based 'Offline Aadhaar'

New Delhi DEC 3: In the reference to recent Supreme Court’s order on Aadhaar, the government and Reserve Bank of India (RBI) are in discussion about allow the usage of ‘offline Aadhaar’ that relies on QR code instead of the biometrics E KYC for opening bank accounts, operating payment wallets and purchasing insurance.

This decision will benefit financial technology companies that have been requesting government to amend the law to make Aadhaar mandatory, the SC has ruled that Aadhaar based verification could not done by private firms.

The printout of QR code is ‘digitally signed’ by UIDAI making it much more reliable document than other documents like voter’s ID or Driving License.

The Court has ruled that, the Aadhaar card not be mandatory for transaction other than those who involved into direct benefit transfer or income tax permanent account number (PAN).

Since the use of offline Aadhaar has to be facilitated by the RBI. The central banks need to bring out a circular and has held 2-3 discussions with UIDAI.

UIDAI has been pushing offline Aadhaar as the tool for KYC, offering it as a secure solution which helps mask details beyond the name, photograph and address.QR code based Aadhaar verification is seen to be foolproof and comes with digital signature that provides comfort to agencies like passport offices and banks.