Blockchain for Banking News

Dubai government adopts blockchain for reconciliation


Yesterday the Smart Dubai Office (SDO) launched a blockchain-based Payment Reconciliation and Settlement system according to news source Zawya. SDO developed the system in collaboration with the Dubai Department of Finance.

Currently, the Department of Finance collects payments from citizens via online portals. Staff members manually reconcile and settle the payments and transfer the amounts to other departments. Because it’s a manual process, this can take up to 45 days. The blockchain initiative automates this reconciliation process.

Hence the benefits are automation, near real-time reconciliation, visibility of funds, quick dispute resolution, and the transparency and immutability of financial records.

Dr. Aisha Bint Butti Bin Bishr, Director General of the Smart Dubai Office (SDO), outlined some ambitious government objectives: “to increase government efficiency by transferring 100% of government transactions to the Blockchain network.”

“Ensuring the success of the ‘Payment Reconciliation and Settlement’ system requires fostering collaboration and synergy among the various Government entities that have joined – or are planning to join – the system, considering that it calls for each entity to open its data and work hand-in-hand with other departments from across the Government spectrum,” Dr. Aisha concluded.

Dubai is involved in multiple blockchain initiatives including for import-export supply chain tracking.

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