Friday, May 10, 2013

National ID cards: NiCADI flaws contract to MasterCard



DigitalSENSE Business News
The Nigeria Content Advocacy Initiative (NiCADI), a multi-sector vehicle for the domestication of Nigeria information technology (IT) products and services has called on the Federal Government to quickly cancel the award of the processing and branding of national identity cards to MasterCard International, an American company as it negates the spirit of local content development, national security and constitutes policy summersault.
 
DigitalSENSE Business News recalls that in the company of Minister of Finance and Coordinating Minister for the Economy in Nigeria, Dr. Ngozi Okonjo-Iweala, MasterCard on Wednesday at the just concluded World Economic Forum on Africa, proclaimed that it will roll-out 13 million MasterCard-branded National Identity Smart Cards for Nigerians, under the recently deployed National Identity Management System (NIMS) managed by the National Identity Management Commission (NIMC).


 NiCADI which has been in the vanguard of entrenching the culture of building indigenous ICT companies that can compete on the global turf said the contract terms in which MasterCard will pick the huge contract monies and will rely on Nigerian companies which have all the wherewithal to implement the project as sub-contractors does not bode well for Nigeria’s march to become a major force in the emerging global political economy. 


Responding to the news, chairman, Business and TechnologyNews Publishers Foundation (BTPF), promoters of NiCADI, Mr. Ken Ugbechie expresses happiness that high-level competencies for processing and issuance of payment cards resides in eTranzact Limited, 3Line Nigeria Limited and Interswitch Limited in Nigeria, arguing that it’s inconceivable that such business should be given to an American company whose primary interest is to buffer American economy.


“We also know that all MasterCard payments processing in Nigeria are being handled competently by Interswitch, Card Technology Limited and Unified Payments Limited. Today, over 70 per cent of  bank customers in Nigeria use Verve payments cards from Interswitch, Genesis Payment cards from eTranzact and Freedom Card from 3 Line Card Management Limited for their day-to-day payment transactions. 


“What then is the rationale for giving the payments transactions of our National ID to MasterCard, a foreign company? We have on good authority that the combined workforce of the three Nigerian firms with competencies in payment cards system runs into over 300 high-skilled staff, whereas MasterCard can only boast of a handful of Nigerians working as marketing executives for the company,” the BTPF chairman said.  


Ugbechie maintained that his group was convinced that this deal would further accentuate the unemployment problems in Nigeria. 


ken ugbechie, chairman, BTPF
“The questions Nigerians should ask NIMC is can the United States of America award this kind of business to a Nigerian firm? Your answer is as good as ours. No country protects her interest more than United States of America. It is on record that US had stopped awarding businesses to several Chinese firms, citing national security issues. 


“Don’t we have national security to protect in Nigeria? Must we always behave like poor cousins of developed world? We also had it on good authority that MasterCard whose CEO is from India approached Unique Identifications Authority of India (UIAI) of  India for similar project and its bid was turned down because of national security,” Ugbechie submitted.


According to a statement issued by MasterCard, it will rely on Unified Payments Services Limited (formerly Valucard), as the payment processor with Access Bank Plc as the pilot issuer bank for the cards while other issuing banks will include United Bank for Africa, Union Bank, Zenith, Skye Bank, Unity Bank, Stanbic and First Bank.

“Awarding the contract to MasterCard negates the principle of backward integration and patriotism and detracts gravely from the transformation agenda which the government of President Goodluck Jonathan so profoundly professes. Besides, awarding the contract of such sensitive project means submitting in full consciousness the individual and collective identities of Nigerians to a foreign company at a time issues of cybercrime and espionage have become clear and present threats to the internal securities of nations,” the statement said.

Remmy Nweke/DigitalSENSE Business News
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