News Highlight
India has adopted an unprecedented and powerful new approach to policy governance by adopting Digital Public Infrastructure (DPI).
Key Takeaway
- The Indian innovation that can change the world: The model that created UPI, Bharat Bill Pay & Aadhaar-bank linkages can benefit every country.
- During the first two decades of the twenty-first century, Google, Amazon, Meta, Apple, and Microsoft were at the forefront of a massive explosion in innovation and value creation.
Digital Public Infrastructure (DPI)
- Firstly, solutions and systems that enable the effective delivery of essential societal functions and services in the public and private sectors.
- Digital forms of ID and verification, civil registration, payment (digital transactions and money transfers), data exchange, and information systems are all examples of this (including sector-specific, i.e. health or education).
- The digital public infrastructure of a country may include multiple proprietary and/or open-source solutions (including digital public goods).
Digital Public Goods
- Refers to open-source software, open data, open AI models, open standards, and open content that abide by privacy laws and other applicable laws and best practices, not harm by design, and assist in achieving the SDGs.
- DPGs could be used as part of a country’s digital public infrastructure.
- Furthermore, DPGs may be considered building blocks when they provide a generic service at scale.
- DPGs may also contribute to the SDGs but do not contribute to public service delivery or are not customisable across multiple use cases.
- As a result, DPGs are not always building blocks and may not be feasible to implement as digital public infrastructure.
DPI Applications
- Modular Open Source Identity Platform(MOSIP) has been used for pandemic-related subsidy payments.
- It is an open-source identity platform that can be used to gain access to a wide range of public and private services.
- Foundational DPI supports government benefits such as cash transfers.
- MOSIP enables context-specific national identity systems based on local laws and decisions.
- MOSIP illustrates DPGs’ adaptability, interoperability, and transparency.
Digital Public Infrastructure in India
- Pradhan Mantri Jan Dhan Yojana (PMJDY)
- When the scheme began in 2015, only 15% of the accounts were operated by women; this figure has since risen to 56%.
- Furthermore, 67% of account holders are from rural and semi-urban areas, bridging the gender gap.
- This massive digital inclusion can be attributed to India’s digital public infrastructure.
- E-commerce
- For example, numerous apps such as PhonePe, GPay, and AmazonPay enable payments with a button.
- In addition, by creating open and decentralised DPI and limiting digital monopolies, the Open Network for Digital Commerce (ONDC) provides access and equity to small and medium-sized merchants.
- This means more options, higher customer quality, and increased competitiveness and efficiency throughout the value chain.
Findings to improve DPI
- New DPI tools based on a whole-of-society approach
- People-centric approach
- While investing in DPI should be prioritised, efforts should be made to ensure inclusivity by focusing on equity, good governance, and regulatory frameworks to ensure that no one is left behind.
- Engaging local stakeholders
- Universities and accelerators collaborating with government partners could aid in long-term capacity investment in DPI implementation and maintenance.
- Global cooperation
Digital Infrastucture
- Digital infrastructure refers to the digital technologies that provide the foundation for an organization’s information technology and operations.
- Examples of digital infrastructure include:
- Internet backbone, broadband
- Mobile telecom and digital communication suites, including applications
- Data centres and networks
- Enterprise portals, platforms, systems, and software
- Cloud services and software
- Operational security, user identity and data encryption
- APIs and integrations
Way Forward
- DPI must be implemented inclusively, with safeguards that can help a country’s resilience in the face of a crisis.
- Sharing DPGs and DPIs should become the norm to ensure global digital cooperation, thought leadership, and research.
- Creating shared technology infrastructure.
- Encouraging private sector participation.
- Delivering innovative solutions.
Pic Courtesy: NITI Aayog
Content Source: Times of India