One person from Kerala enrolled and successfully received two Aadhaar numbers. This raises serious question over the de-duplication theory and practices of UIDAI
Aadhaar or the unique identification (UID) number is being enforced by the governments and the de-facto tagging institution, the Unique Identification Authority of India (UIDAI) by claiming uniqueness of the number. However, one person from Kerala has busted the myth created by UIDAI and its chairman Nandan Nilekani.
According to a report in Matrubhoomi, a Kerala-based newspaper, PV Narayanan, a resident of Panatthadi panchayat received two Aadhaar numbers: 548780623023 and 356459270677. The names on both these letters issued by UIDAI are same, with slight different photos. Narayanan probably may have registered at two places or centres. But, surprisingly, his fingerprints seem to have passed the so-called ‘robust’ de-duplication test of UIDAI. Since Aadhaar includes an iris scan, this too seems to have been missed.
As Moneylife has pointed out, both the union government and UIDAI were in such a hurry that they neglected the basic principle of pilot testing and size of sample. For over 1.2 billion UID numbers, they have used data from just 20,000 people, in pairs, as the sample and on the basis of the results, gone ahead with the UID number through the 'Aadhaar' project. (How UIDAI goofed up pilot test results to press forward with UID scheme)
The case of Narayanan also mocks the false positive identification rate (FIPR) theory of UIDAI. Earlier, speaking about the FIPR, the UIDAI had said, "We will look at the point where the FPIR (i.e. the possibility that a person is mistaken to be a different person) is 0.0025%". This means, for every 1 lakh comparisons, there would be two and a half false positives. On a large scale, it means for a population of over 120 crore, there would be 18 lakh crore false positives, or, for every single Indian resident there would be 15,000 false positives! (Click to see the calculations)
The International Biometric Group (IBG) testing also shows that performance can vary drastically within technologies-some fingerprint solutions, for example, had next to no errors during testing, while others rejected nearly 1/3rd of enrolled users. "Most interestingly, the testing shows that over time, many biometric systems are prone to incorrectly rejecting a substantial percentage of users. Verifying a user immediately after enrolment is not highly challenging to biometric systems. However, after six weeks, testing shows that some systems' error rates increase ten-fold," said the research, consulting and integration firm, which works closely with the biometric industry. The report is titled "Real-World Performance Testing".
Maybe the UIDAI and its registrar have thought the second enrolment of Narayanan from Kerala as false positive and issued another Aadhaar number. Hope the UIDAI chairman would be able to find out ‘original and true’ Narayayan from these two biometric-based Aadhaar numbers!
With RBI Governor Raghuram Rajan focusing more and more on core CPI inflation, BoA Merrill Lynch sees a 25bps hike in repo rate on 29th October
Core consumer price index (CPI) inflation, at 8.4%, remained uncomfortably high largely driven by around 10% housing inflation. With Raghuram Rajan, governor of Reserve Bank of India (RBI) focusing more and more on core CPI inflation, BoA Merrill Lynch (BoA ML) said it expects a 25 basis points (bps) repo rate hike on 29th October. The central bank is scheduled to review its monetary policy on 29th October.
September 2013 CPI inflation, at 9.8%, came in marginally higher than the expected 9.7% (see chart and table below). Vegetable price inflation, at 34.9%, contributed 210bp to CPI inflation.
Cereals price inflation, at 12.8%, added another 150bp (see table below). BoA ML said it expects CPI inflation to ease to 8.4% by March 2014 as the harvest cools down.
Core wholesale price index (WPI) inflation, which is at 2.6% in September 2013, remained in check with tight monetary policy killing pricing power (see chart and table below). The research note expects core inflation to remain benign through FY14.
Media reports suggest that onion prices are beginning to come down with fresh supplies hitting the market. At the same time, inflationary pressures from depreciation, as well as higher coal, power and diesel prices, will keep WPI inflation over 6% for now. BoA Merrill Lynch has thus hiked its March 2014 WPI inflation forecast to 6.6% from 6.2%.
During the September quarter, the Bajaj group company’s net interest income-NII rose 32% to Rs582 crore while non-interest income rose 76% boosting its net profit to Rs167 crore
Bajaj Finance Ltd, the largest financier of two wheelers and consumer durables and third largest non banking financial corporation (NBFC) in India reported a 30% increase in its net profit during the second quarter on robust growth in its net-interest income (NII) as well as in non-interest income.
For the quarter to end-September, the Bajaj group company, said its net profit increased to Rs167 crore from Rs129 crore while its total revenues, including NII, rose 31% to Rs964 crore from Rs737 crore, same period last year.
During the quarter, its NII increased 32% to Rs582 crore from Rs 442 crore a year ago period mainly due to 15% increase in number of customers. Its non-interest income increased sharply 76% to Rs87 crore from Rs50 crore a year ago period.
Driven by healthy inflows the company’s total asset under management (AUM) increased 29% at Rs19,829 crore for the quarter ended September 2013, compared with Rs15,370 crore for the same period last year.
Bajaj Finance’s gross non-performing assets (GNPA) during the second quarter stood at 1.14% and net non-performing assets (NNPA) at 0.26% only. Its capital adequacy ratio (CAR) stood at 20.9% and provisional coverage ratio stood at 78% as of 30 September 2013.
On Tuesday, Bajaj Finance closed 2.17% down at Rs1,265 on BSE, while the benchmark S&P BSE Sensex ended marginally down at 20,548.