Dubai Department of Finance to Introduce Blockchain-Based Payment System

When the world is receiving benefits from digital currency, Dubai does not want to lag behind. According to the reports, Dubai Department of Finance is about to enter in Blockchain technology.

The Dubai Department of Finance (DoF) has collaborated with the Smart Dubai Office (SDO) to initiate a blockchain-build payment system. As reported by a local news site Zawya, on September 23.

On last Sunday, “Payment Reconciliation and Settlement,” was officiallyinaugurated which is a new platform. The government entities like the Road and Transport Authority (RTA), Dubai Police, Dubai Health Authority (DHA) will be utilizing the aforesaid payment system.

The Dubai DoF and SDO aim for the system that can provide a more accurate and transparent governance process, as well as to enable real-time payments within and between government structures. The existing system for transactions in Dubai government is pretty time absorbing that it takes up to 45 days to accomplish any given operation, as stated by Zawya.

Amid this, the new system is already applied at the Dubai Electricity and Water Authority (DEWA) and the Knowledge and Human Development Authority (KHDA), having a total number of test transactions successfully amounting to more than five million, according to reports.

The director general at the SDO, Dr. Aisha Bin Bishr expressed her views by saying, “blockchain is one of the most promising of emerging technologies.”

As we know, in 2017, the SDO group was approved with the top honors at the Smart Cities Expo and World Congress in Barcelona, earning the City Project Award from among 308 other teams for their Dubai blockchain Strategy.

As pe the valid report, Vice President and Prime Minister of the UAE and Ruler of the Dubai Emirate Sheikh Mohammed bin Rashid launched the Smart City project in 2013. The organization’s target is to deliver a smart ecosystem for cooperation between government entities and residents and visitors. The said goal is backed by the government, private sector, and institutional partners.

Apart from that, Smart Dubai is not the only government-supported initiative that is planned to engage major emerging technologies like blockchain in the country. As, the UAE Vice President and Prime Minister initiated the “UAE Blockchain Strategy 2021” In April of this year, with an aspiration to achieve the position of a global leader in selecting the technology.   

Also, in July, the Dubai International Financial Centre (DIFC) declared its future joint efforts with Smart Dubai to develop a “Court of the Blockchain.” The organization is focussed on examining the power and capabilities of the technology in terms of improvising  the UAE’s legal system. For instance, by incorporating blockchain-based verification of court judgements.

So, let’s see how it helps the UAE’s Gov’t on a larger scale.