Financial Inclusion

Completed

Chitwan Rural Banking Initiative

Digital Identity for Financial Inclusion

Chitwan District, Narayani Zone

18 months (Jan 2023 - June 2024)

2,847 participants

Project Overview

A comprehensive pilot program bringing zero-knowledge identity verification to rural banking, enabling 2,847 previously unbanked citizens to access formal financial services while maintaining complete privacy over their personal data.

The Challenge

In rural Chitwan, 73% of residents lacked access to formal banking due to complex identity verification requirements, travel distances to bank branches, and concerns about data privacy. Traditional KYC processes required multiple physical documents and in-person verification.

73%

Unbanked Population

45km

Average Distance to Bank

34%

Document Ownership

89%

Mobile Phone Penetration

Veridity Solution

We deployed a mobile-first zero-knowledge identity system that allows citizens to prove their eligibility for banking services without revealing sensitive personal information. The system works offline and integrates with local cooperative banks.

Offline-First Mobile App

Works without internet connectivity, crucial for rural areas with spotty network coverage

Zero-Knowledge Age Verification

Proves users are over 18 without revealing exact birth dates or personal details

Cooperative Bank Integration

Seamless integration with 12 local cooperative banks and credit unions

Multi-Language Support

Available in Nepali, Tharu, and Hindi to serve diverse communities

Implementation Timeline

Phase 1: Community Engagement

3 months

Community meetings in 15 villages
Partnership agreements with 12 cooperative banks
Local champion training program
Cultural sensitivity workshops

Phase 2: Technology Deployment

4 months

Mobile app development and localization
ZK-proof circuit optimization for mobile devices
Bank API integration and testing
Offline synchronization system setup

Phase 3: Pilot Launch

6 months

Beta testing with 200 early adopters
Gradual rollout to 2,847 participants
Continuous monitoring and optimization
Weekly community feedback sessions

Phase 4: Evaluation & Scale

5 months

Impact assessment and data analysis
Cost-benefit evaluation
Expansion planning to neighboring districts
Knowledge transfer to government partners

Impact & Results

The Chitwan pilot exceeded all targets, demonstrating the transformative potential of privacy-preserving digital identity for financial inclusion.

2,847

Citizens Verified

Successfully completed zero-knowledge identity verification

+127% vs target

94%

Adoption Rate

Of eligible participants actively using the system

+44% vs baseline

NPR 47.2M

Financial Access

Total value of financial services accessed

∞% (new access)

89%

Satisfaction Score

User satisfaction with privacy and ease of use

+67% vs traditional KYC

"पहिले बैंकमा खाता खोल्न धेरै कागजपत्र र समय लाग्थ्यो। अहिले मेरो फोनबाटै सजिलै गर्न सकिन्छ र मेरो निजी जानकारी सुरक्षित छ।"

English: "Before, opening a bank account required many documents and time. Now I can easily do it from my phone and my private information is secure."

सुनिता थारु (Sunita Tharu)

Farmer & Entrepreneur, Chitwan

Key Learnings