• eSwatini central bank launches electronic KYC system for identity verification
• Platform aims to boost financial inclusion and cut fraud risks
• Regional e-KYC integration planned to support cross-border payments

The Central Bank of eSwatini (CBE) has launched an electronic Know Your Customer (e-KYC) system, marking a first step toward digitalizing identity verification within the nation's financial system. The initiative aims to modernize the sector and improve citizens' access to banking and public services.

The e-KYC registry will allow electronic verification of client identities through a centralized platform. Commercial banks, financial institutions, and certain public administrations can utilize the system to rapidly confirm user information. The CBE is directly overseeing the project and has held numerous consultations to ensure harmonized integration.

CBE Deputy Governor Felicia Dlamini said the initiative also has regional implications. "This initiative is aimed at exploring the feasibility of a regional e-KYC registry that will enable secure, real-time, cross-border identity verification, thus allowing us to develop a cross-border payments infrastructure in the SADC [Southern African Development Community] region to advance financial inclusion, efficiency, and security," Dlamini stated.

This technological leap is expected to boost financial inclusion in eSwatini by reducing the administrative burdens that often complicate opening accounts or accessing credit. It promises to save time and cut costs for financial institutions, allowing them to process requests more efficiently. Crucially, the system enhances the fight against fraud and money laundering by offering a more reliable and traceable identity verification mechanism.

The system faces implementation challenges, however. The issues of personal data protection and digital accessibility for rural populations remain central. The initiative's success will depend on the country's ability to guarantee information security while expanding connectivity. Internet penetration in eSwatini stood at 57.6% at the start of 2025, according to DataReportal.

Adoni Conrad Quenum