Illicit funds are spent in acquisition of landed property
Bank Verification Number (BVN) is one of the best things that has happened in the banking ecosystem of Nigeria. "The Central Bank of Nigeria through the Banker’ Committee and in collaboration with all banks in Nigeria on February 14, 2014, launched a centralized biometric identification system for the banking industry tagged Bank Verification Number (BVN)."
The purpose of the project, according to the Nigeria Inter-Bank Settlement System (NIBSS), is to use biometric information as a means of first identifying and verifying all individuals that have account(s) in any Nigerian bank and consequently, as a means of authenticating customer’s identity at point of transactions. BVN have proven to hinder corruption and money laundering in the financial system. This novel idea can be replicated over several sectors of the Nigerian economy to further protect people, enhance tracking system, financial inclusion, expansion of tax as well as reduce poverty levels.
The use of technology to evolve the process of solving problems and create solutions can never be emphasized. BVN-like solution can be deployed in the housing sector, to first of all fight corruption and increase government revenue.
It is widely speculated that billions of naira is trapped in accounts without BVN, this is so as owners are afraid to reclaim these money for fear of investigating their sources of income. It is also not a secret that some people still keep away their money outside the financial system. Most of these illicit funds are spent in acquisition of landed property. It is high time then for the industry to be sanitized by a unique tracker number.
A unique identity number, just like BVN, can be legislated for all property owners. The unique ID can be used to track tax payments on property, identify who owns what, where and how. It will also create value commensurate to the property in such a way that it creates a credit system where property owners can access financial services using the property as a quick collateral. This way, financial service providers can access the value of the collateral using the unique property ID, just like the BVN.
In the long haul, public servants do not have write what they want on their asset declaration forms. This unique number will reveal all their assets with a click of a button. Time is saved, ease of doing business wins.
Tax agencies can easily identify abandoned houses and impose heavy penalties. More poor people can also benefit from the availability of decent houses. This also solves the problem of data on property and their ownership within local levels, states and the FCT. Urban planning like the provision of streets, sewage, electricity and other infrastructural development would also be made easy.
The purpose of the project, according to the Nigeria Inter-Bank Settlement System (NIBSS), is to use biometric information as a means of first identifying and verifying all individuals that have account(s) in any Nigerian bank and consequently, as a means of authenticating customer’s identity at point of transactions. BVN have proven to hinder corruption and money laundering in the financial system. This novel idea can be replicated over several sectors of the Nigerian economy to further protect people, enhance tracking system, financial inclusion, expansion of tax as well as reduce poverty levels.
The use of technology to evolve the process of solving problems and create solutions can never be emphasized. BVN-like solution can be deployed in the housing sector, to first of all fight corruption and increase government revenue.
It is widely speculated that billions of naira is trapped in accounts without BVN, this is so as owners are afraid to reclaim these money for fear of investigating their sources of income. It is also not a secret that some people still keep away their money outside the financial system. Most of these illicit funds are spent in acquisition of landed property. It is high time then for the industry to be sanitized by a unique tracker number.
A unique identity number, just like BVN, can be legislated for all property owners. The unique ID can be used to track tax payments on property, identify who owns what, where and how. It will also create value commensurate to the property in such a way that it creates a credit system where property owners can access financial services using the property as a quick collateral. This way, financial service providers can access the value of the collateral using the unique property ID, just like the BVN.
In the long haul, public servants do not have write what they want on their asset declaration forms. This unique number will reveal all their assets with a click of a button. Time is saved, ease of doing business wins.
Tax agencies can easily identify abandoned houses and impose heavy penalties. More poor people can also benefit from the availability of decent houses. This also solves the problem of data on property and their ownership within local levels, states and the FCT. Urban planning like the provision of streets, sewage, electricity and other infrastructural development would also be made easy.
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