By: Ibrahim Al-Failakawi  

WSIS Forum2015

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e- Payment ProjectThe State of Kuwait

Ministry of FinanceState of Kuwait

Payment for government revenues are done in cash or checks.Take about a week to reach Ministries and Authorities account in Central Bank.Theft of cash before reaching the bank.Fees are paid using the paper stamps.Stamps easily get damaged. Illegal reuse of paper stamps.

The old Situation

e-Payment2

e-Payment is a joint project between the public sector and the private sector.

The public sector represented by the Ministry of Finance (MOF) and the Central Agency for Information Technology ( CAIT).The private sector is k-NET (Shared Electronic Banking Services Company)

e- Payment

e-Payment3

MOF aims at keeping up with technological developments in the collection of revenues and fees for government services.

MOF launched e-Payment project in March 2010 and launched e- Stamp in January 2013, both projects carry the following logo:

e- Payment

e-Payment4

Through the implementation of the project , MOF aims to make payment of any government revenue and fees easier and faster through the internet or any other electronic channels.

The payment can occur at any time or location at no additional charges.

e- Payment

e-Payment5

The project is regarded as the infrastructure for the collection of public revenues and fees in association with k-NET though the following: Building the government portal for electronic

payment. Providing several channels of electronic collection

to the government agencies. Empowering individuals and companies to pay

any dues by any bank card. Executing Transfers done by clients from their

bank accounts to the Central Bank within 24 hours.

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e-Payment6

Restructuring the solution for the electronic payment system.

MOF & K-net created an integrated solution for electronic payment system.

The system was applied widely in government agencies that provide services to citizens, expatriate and private sector.

e- Payment

e-Payment7

e -Payment Infrastructure

e-Payment

Central database

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ΦϳέΎΗϥϣΦϳέΎΗϰϟ

ϊ ΑΎρϟΔϓΓέΩλ ϣϟϊ ΑϭρϟΩΩϋϊ ΑϭρϟΩΩϋΔϠόϔϣϟΓέΩλ ϣϟϊ ΑϭρϟΔϣϳϗϊ ΑϭρϟΔϣϳϗΔϠόϔϣϟ

0.55046252311008810088220184036515127560

10545040ωϭϣΟϣϟ190168ΩϙΩϙ

ΕΎϬΟϟϯ ΩϟΔϳϧϭέΗϛϟϹϊ ΑϭρϟέϳέΎϘΗ

Γέί ϭΔΣλ ϟΔϳϧϭέΗϛϟϹϊ ΑϭρϟΎΑέϳέϘΗΔϠόϔϣϟ

ΦϳέΎΗϥϣΦϳέΎΗϰϟϊ ΑΎρϟΔϓϊ ΑϭρϟΩΩϋΔϠόϔϣϟϊ ΑϭρϟΔϣϳϗΔϠόϔϣϟ

0.54623188882183651260

10440ωϭϣΟϣϟ168Ωϙ

Report

Services provided K net

Clients

Mobilesys

Delegation system

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Commercial Banks

InternetSys

ATMSys

IPOSSys

POSsys

www.e.gov.kw

Gov Portal

Central Bank SSL

التشفيرPCI

PCIsys

Replacing printed stamps with e-stamps using a number of channels for e-payment and for thee issuance of the e-stamp.

Easy to use

Fast to get High security mechanisms employed

Can be executed at any location

e-Stamp

e-Payment 9

Roles of parties involved

e-Payment

Agencies

K-net

Clients

Commercial Banks

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Central bank of Kuwait

MOF

CAIT

The role of MOF Preparation and signing of agreement with k-net.

Issuing a circular to regulate the use of the

e-Payment channels and issuing the e-stamp.

Project management and supervision of the implementation process for the agencies.

Providing support in coordination with the k-NET .

Review and approval of sub-contracts entered into by government agencies with k-net company.

Roles of parties involved

e-Payment11

The role of MOF Campaigning for the project management in coordination with the Central Agency for Information Technology and with the assistance of K-net. Studying proposed solutions to the various payment channels and adopting the suitable for implementation. The study of new channels for payment and the issuance of e-stamp and adopt appropriate one for implementation.

Roles of parties involved

e-Payment12

The role of CAIT Development of standards and technical standards for e-services. Preparation of laws and legislations regulating electronic financial transactions. Urging and enabling government agencies to implement e- payments and issuing e-stamp. Allow e-Payment through the official central portal. Overseeing the implementation of e-stamp. Overseeing the implementation of the e-Payment channels and campaigning for the project.

Roles of parties involved

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The role of government agencies Formation of working groups to manage the implementation of the system.

Signing of sub-contracts with k-net company.

Identifying services for which e-stamp is required.

Developing electronic services .

Integrating their e services and the electronic

e-Payment channels.

Implementing e-payment channels in all their sites.

Roles of parties involved

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The role of k-net Providing e-payment gateway. Providing a central system for the issuance of e-stamps. Allowing the issuance of e-stamps 24-7 -365. Installation of e-payment channels. Integrating e-payment channels with eservices at government. Training staff of the different government agencies to use e-payment channels.

Roles of parties involved

e-Payment15

e-Stamp

e-Payment

Database

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Γέί ϭΔϳϟΎϣϟΔΟέΧΗγϣϟΔϳϧϭέΗϛϟϹϊ ΑϭρϟΎΑέϳέϘΗΔϠόϔϣϟϭ

ΦϳέΎΗϥϣΦϳέΎΗϰϟ

ϊ ΑΎρϟΔϓΓέΩλ ϣϟϊ ΑϭρϟΩΩϋϊ ΑϭρϟΩΩϋΔϠόϔϣϟΓέΩλ ϣϟϊ ΑϭρϟΔϣϳϗϊ ΑϭρϟΔϣϳϗΔϠόϔϣϟ

0.55046252311008810088220184036515127560

10545040ωϭϣΟϣϟ190168ΩϙΩϙ

ΕΎϬΟϟϯ ΩϟΔϳϧϭέΗϛϟϹϊ ΑϭρϟέϳέΎϘΗ

Γέί ϭΔΣλ ϟΔϳϧϭέΗϛϟϹϊ ΑϭρϟΎΑέϳέϘΗΔϠόϔϣϟ

ΦϳέΎΗϥϣΦϳέΎΗϰϟϊ ΑΎρϟΔϓϊ ΑϭρϟΩΩϋΔϠόϔϣϟϊ ΑϭρϟΔϣϳϗΔϠόϔϣϟ

0.54623188882183651260

10440ωϭϣΟϣϟ168Ωϙ

Report

Requested at government agency

K net

clients

mobile

Delegation for cards

16

Commercial Banks

internet

KIOSK

IPOS

POS

www.e.gov.kw

Official portal

Central Bank of Kuwait

e-stam

p

PCI

PCI

SSL

e-Stamp

e-Payment

Cycle of e-stamp issuance and accounting mechanism

Customers use any channel 1

Agencies are provided with

requests for charges to K-net

Depositing receipts in

government agencies at the

central bank account

issuing PIN /printing acetkra for POS ,KIOSK

r

3

17

Scanning details of e-stamp

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Γέί ϭΔϳϟΎϣϟΔΟέΧΗγϣϟΔϳϧϭέΗϛϟϹϊ ΑϭρϟΎΑέϳέϘΗΔϠόϔϣϟϭ

ΦϳέΎΗϥϣΦϳέΎΗϰϟ

ϊ ΑΎρϟΔϓΓέΩλ ϣϟϊ ΑϭρϟΩΩϋϊ ΑϭρϟΩΩϋΔϠόϔϣϟΓέΩλ ϣϟϊ ΑϭρϟΔϣϳϗϊ ΑϭρϟΔϣϳϗΔϠόϔϣϟ

0.55046252311008810088220184036515127560

10545040ωϭϣΟϣϟ190168ΩϙΩϙ

ΕΎϬΟϟϯ ΩϟΔϳϧϭέΗϛϟϹϊ ΑϭρϟέϳέΎϘΗ

Γέί ϭΔΣλ ϟΔϳϧϭέΗϛϟϹϊ ΑϭρϟΎΑέϳέϘΗΔϠόϔϣϟ

ΦϳέΎΗϥϣΦϳέΎΗϰϟϊ ΑΎρϟΔϓϊ ΑϭρϟΩΩϋΔϠόϔϣϟϊ ΑϭρϟΔϣϳϗΔϠόϔϣϟ

0.54623188882183651260

10440ωϭϣΟϣϟ168Ωϙ

6

IPOS, mobile, internetAutomatically entering the transaction number into the database & changing the code for the event thus enabling the user to automatically print the

stamp

4Determining the number of transactions for each agency . Then determining the total number of monthly transactions for all government agencies then relocating to the appropriate account.

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5

Barcode reader scans e-stamp /stored at database/ change

status from activated into used

Customers use any channel

Request an electronic stamp

POS ,KIOSK

Charges paid to K-net

No of transactions(activated)

Charge per transaction

and less300,000 0.250

350,000 0.230

400,000 0.210

500,000 0.190

1,000,000 0.170

1,500,000 0.150

2,000,000 0.140

2,500,000 0.130

3,000,000 0.120

and more3,000,000 0.110

e-Stamp

e-Payment18

Features of e-stamp

Confidentiality and security , having the possibility of adding invisible confidential electronic signs . Additional encryption features. No re-use is possible.

e-Stamp

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Important data encrypted according to the international regulation (PCI - DSS) Payment card industry

e-Stamp can only be issued through k-net available devices with government agencies.

e-Stamp

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e-Stamp

e-Payment

Phase 1implementation was carried out for point of sale and KIOSK to issue e-stamps that do not require to be integrated to systems. payment is made by K-net as well as cash. e-stamps are issued and then fixed manually on the service forms.

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Phase two

Integrating Payment gateway and Integrated POS with the system.

e-Stamp printed directly on the service form.

Allowing the service thought mobile phones also.

e-Stamp

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IPOS

e-Stamp

e-Payment23

Future plans for the payment serviceCentral e-collection for government revenues. Project awarded and in the contracting phase.

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Central e-Collection System

Commercial Banks

Central government automated collection of receivables Project

e-stamp

CAIT - KIN

)BROKER (

Integration equipment

Civil Service Bureau

Electrity &

water

Ministry of

communicatio

ns

MOI

Public Authorit

y for Civil

Information

Integration equipment

MOF central collection )sharable(

General perspective of the projectالدفع قنوات

المختلفة االلكترونيwww.e.gov.kw

portal

MOF

25

DatabaseCentral

E-stam

p

Delegation for cards

client

internet

mobile

Central Bank of Kuwait

ATMIntegration equipment

Integration equipment

Integration equipment

Integration equipment

PCI

PCI

Best wishes

e-Payment26