World Bank, IMF, WEF, G20, Gates Foundation, EU, and India push Digital ID
The president of the World Bank wants governments to create digital identities and link them to private sector and existing infrastructures, joining a host of other global interests. World Bank president Ajay Banga told the World Bank Group's inaugural Global Digital Summit that digital ID should be embraced in all nations. He also called for governments to own the IDs, so they can guarantee their citizens privacy and security.
A World Economic Forum
chart shows ways a digital ID would connect someone to government and
corporations. World Economic Forum
FULL ARTICLE
The president of the World Bank wants governments to create digital identities and link them to private sector and existing infrastructures, joining a host of other global interests, The Sociable reports.
World Bank president Ajay Banga told the World Bank Group's inaugural Global Digital Summit that digital ID should be embraced in all nations. He also called for governments to own the IDs, so they can guarantee their citizens privacy and security.
"Creating a digital identity platform for citizenry is kind of foundational and I believe your government should be the owner of your digital ID; private companies should not own that," said the World Bank president.
"It is the social contract of the citizens of their countries to have an identity, a currency and safety. We should not take that away from them.
"They should have the digital identity; that digital identity should guarantee the privacy of that citizen; it should help them with their security, but the government should give the identity.
"Once you do that, then connecting them to the infrastructure that a private company, either Ericsson or Verizon, or combinations of them, in fact mostly it's a combination, then the question is, 'What do you do with it that requires a digital ID?' so you can start connecting with that citizen.
The World Bank president insists government has to have the IDs so they can guarantee privacy. Otherwise, people won't trust the scheme.
"You must ensure that governments guarantee the privacy of that citizen. Because if you don't do that, you will run into trouble with the acceptance of the idea," Banga said.
"So, if you want this to be embraced around the world, yes, get the infrastructure, get a digital ID. Get that going and then move from there.
Digital ID would become a necessary and foundational aspect of financial services, insurance, healthcare, education and the process of starting a new business.
At last year's International Monetary Fund (IMF) Spring Meetings India's digital ID architect Nandan Nilekani said, "If you think, 'what are the tools of the New World?' Everybody should have a digital ID; everybody should have a bank account; everybody should have a smartphone."
"Then, anything can be done. Everything else is built on that."
Nilekani strongly advocates a digital public infrastructure (DPI) with the components of digital identity, digital payments systems and mass data sharing.
In 2023, the G20 India Leaders' Declaration stated: "We endorse the voluntary and nonbinding G20 Policy Recommendations for Advancing Financial Inclusion and Productivity Gains through Digital Public Infrastructure. We take note of the significant role of digital public infrastructure in helping to advance financial inclusion in support of inclusive growth and sustainable development."
Prior to the G20 Summit, the B20 India Communique recommended that members, "Roll out digital public infrastructure to boost financial inclusion and healthcare access."
The conference acronym of RAISE seemed to align technology with UN Sustainability Goals with its themes of "responsible", "accelerated", "innovative", "sustainable", and "equitable."
Last November, the United Nations, the Bill and Melinda Gates Foundation, and their partners launched the 50-in-5 campaign to help "50 countries design, launch, and scale components of their digital public infrastructure" within the next five years.
Despite the objections of a few vocal MEPs, on February 29, the EU parliament adopted an updated regulation to the digital identity wallet. According to a EU press release, "The EU wallet will be used on a voluntary basis" while "updating the European digital identity framework"
"During negotiations, MEPs secured provisions to safeguard citizens' rights and foster an inclusive digital system by avoiding discrimination against people opting not to use the digital wallet," the release said.
A briefing adds that "The wallet is voluntary and free of charge for individuals, while businesses may incur costs. It does not replace existing identification and authentication means but complements them."
A similar approach in India has drifted over the past ten years, making its digital identity scheme of Aadhaar a must for most dealings.
"Enrolment for Aadhaar is entirely voluntary," read a government press release from December, 2013. Yet, that same year, Forbes India already reported, "More and more states and government agencies were making its use mandatory for a host of services, from buying cooking gas to registering marriages and renting houses."
in 2017, Reuters reported that, "Various ministries make Aadhaar mandatory for welfare, pension and employment schemes. Aadhaar made mandatory for filing of income tax returns. Aadhaar holders crosses 1.14 billion."
Also in 2017, the Reserve Bank of India clarified that Aadhaar linking with bank accounts was mandatory for certain benefits and subsidies. The "myth-busters page on Aadhaar confirmed this.
Despite court challenges, Aadhar has become needed for just about everything, as Business Today noted in May 2022.
"Aadhaar has emerged as the national identity and treated as a preferred/ mandatory identity proof for avail services such as obtaining a SIM card, hospitalization, opening a bank account or availing government subsidies and benefits of various government-run welfare schemes, even for the COVID-19 vaccination."
March 18, 2024