The government of Pakistan is set to present a significant bill aimed at creating a digital identity for all citizens, which would centralize social, economic, and governance data. The legislation, titled The Digital Nation Pakistan Bill, 2024, is scheduled to be introduced in the National Assembly on Monday by Minister of State for IT and Telecommunication, Shaza Fatima Khawaja.
The bill, which was approved by the federal cabinet in June, aims to transform Pakistan into a digital nation by enhancing the digital economy, promoting e-governance, and facilitating better governance. According to the bill’s agenda, the government seeks to establish two new entities: the National Digital Commission (NDC) and the Pakistan Digital Authority. The NDC, to be headed by the Prime Minister, will include chief ministers and key figures from major organizations like the State Bank, FBR, and PTA. The Pakistan Digital Authority will consist of top industry experts tasked with executing the digital transformation plan.
A core feature of this plan is the creation of a digital identity for every citizen, encompassing data related to health, assets, and other key social indicators. The initiative aims to streamline government services, improve access to essential records such as ID cards, land records, and birth certificates, and enhance overall digital governance. Digital expert Habibullah Khan, CEO of Penumbra, explained that this digital transformation will be achieved through the construction of a Digital Public Infrastructure (DPI), a stack of technologies including Digital ID, universal payments interface, and data exchange systems, which will accelerate development by decades.
Khan further clarified that the creation of these new entities was necessary for the successful implementation of such a large-scale digital transformation. He emphasized that no single ministry could handle the complexity of integrating various regulators, departments, and bodies, and highlighted that many leading countries in digital governance have a supra-ministerial body to guide such processes. The NDC will oversee the digital agenda, while the Pakistan Digital Authority will execute the plan and oversee the development of the DPI, with existing organizations like Nadra, FBR, and SBP handling implementation in their respective areas.
In addition to enhancing governance, the new bill proposes to use digital wallets to help formalize the economy, enabling individuals to access bank loans, government schemes, and financial services. This move aims to foster inclusive economic growth by ensuring equitable access, particularly for marginalized groups like women and minorities. Moreover, the government is planning to establish a “civic lab” to encourage young people to harness their tech potential and support AI-based startups working in sectors like healthcare, education, agriculture, and climate change.
The digital identity system proposed in the bill draws inspiration from successful models in countries like Estonia and the UAE, both of which have implemented digital IDs that allow citizens and residents to access a wide array of government and private services. Estonia’s e-ID system, in place since 2002, allows citizens to access services ranging from health records to voting, while the UAE’s ‘UAE Pass’ enables access to services from 12,000 entities.
However, the plan has sparked concerns among digital rights experts, who are calling for more clarity on how the government intends to secure the centralized data system. Asad Baig, a digital rights expert, emphasized the importance of involving multiple stakeholders in discussions about the digital identity legislation. He urged for a more inclusive approach to ensure that the potential risks of such a vast data-sharing system are addressed.
Despite these concerns, Khan reassured that the data stack would give citizens control over their data, ensuring digital security and preventing exploitation. The government aims to push forward with this ambitious digital transformation plan, hoping to establish a robust, secure, and inclusive digital ecosystem for Pakistan.