ASEAN needs to determine how to balance perpetuating the benefits of technology cooperation with China while mitigating the risks of getting caught in the crosshairs of U.S.-China gamesmanship.
Elina Noor
Source: Getty
The aim of this essay is to clarify how the DPI approach can be institutionalized while providing negotiators, diplomats, and technologists the language that is potentially necessary to define an idea whose time has come.
Digital public infrastructure (DPI) is a brand-new approach to the digitization of large-scale systems. It has the potential to revolutionize the way in which public services are delivered, since it is much more than a software or a technology infrastructure—it is a framework that encompasses technology, markets, and governance. It offers nation states unprecedented agency over their own digital journeys. It is designed to ensure the sovereignty of core public services, enabling capabilities that are critical to national growth. Crucially, it helps governments unlock the power of market innovation and entrepreneurship, creating competition and strengthening local and potentially global digital ecosystems.
Certain properties of DPI are instinctively understood in nations that have adopted the approach, even if they themselves do not as yet use the abbreviation “DPI.” Whether it is Brazil, Estonia, or India, there is an intuitive appreciation for the vast potential of DPI. Yet, for many parts of the world, this language is only beginning to be understood in its entirety.
This essay intends to describe the DPI approach. It is authored from the perspective of building bridges of understanding between communities, countries, and global institutions invested in interoperable and life-changing systems for the delivery of public service at scale. DPI is a relatively new theory of change. The language around DPI is only now being constructed for global absorption. Whether it is at the G20 or in bilateral negotiations between countries, this approach and the language that defines it are only now being established. The aim of this essay is to clarify how the DPI approach can be institutionalized while providing negotiators, diplomats, and technologists the language that is potentially necessary to define an idea whose time has come.
The DPI approach is underpinned by three core concepts.
These three principles collectively define the DPI approach. In certain countries, such as India, Brazil, Thailand, and Indonesia, adopting aspects of such an approach have proven to be a powerful strategy for transforming the delivery of public services and empowering countries to leapfrog several stages in the traditional developmental journey.
In order to better understand what DPI encompasses, it is important to dig deeper into each of these three elements.
Design Philosophy
The traditional vendor-led approach to digital infrastructure development typically involves identifying a national requirement (for example, an ID system, a payment system, or what in time might be considered a carbon registry within and between countries) and then soliciting proposals from vendors to build it. This often leads to monolithic software implementations and siloed systems, which have limited interoperability and extensibility. This in turn results in vendor lock-in with countries being heavily dependent on the suppliers of these software services for every tiny upgrade and feature refresh. It also limits interoperability between the systems created by different vendors in the same country. In contrast, the DPI approach allows the governments to actively participate in designing their countries’ digital transformations.
A well-balanced and “good” DPI agenda will require governments to adopt common principles, which all the market participants building and leveraging DPIs ought to adhere to.
By adopting these design principles, governments can ensure that they remain in control of the digital public ecosystems on which they depend for the delivery of public services. Including multiple market participants ensures long-term sustainability of DPIs for the provision of digital services to the ultimate beneficiaries—the people.
Governance Frameworks
As important as it is to ensure that DPIs are built according to the correct design principles, it is just as critical to ensure that they are subject to strong governance frameworks. DPIs have the potential to accelerate inclusion—or to exclude and surveil people. Therefore, ensuring a people-centric approach in governance is fundamental to safeguard their rights. Looking into the future, this “techno-legal” approach, if it can be referred to as such, promises to ensure fair competition, privacy protection, and user autonomy while enabling market innovation and consumer protection.
In designing and supplementing the rights-based governance framework, certain elements of this approach should be kept in mind.
By adjusting traditional governance frameworks to take into account the special features of DPI, it is possible to develop a new approach to regulation that can not only offer a more efficient regulatory pathway but also reduce the compliance burden. By embedding governance into the architecture, it is possible to create transparent, accountable, and fair digital ecosystems that empower citizens and foster innovation while safeguarding essential rights and freedoms.
Market Forces
A DPI approach is only really successful when the private sector is fully engaged. The private sector plays a central role in its implementation—reaching the last mile, harnessing innovations, and improving efficiencies. By enabling market forces to actively contribute to the deployment and management of digital infrastructure, governments can create a more dynamic, sustainable, and inclusive digital ecosystem.
With this in mind, it is important that governments adopt a few key strategies in their DPI approach.
Only by enabling markets and actively involving the private sector in the DPI approach can nations benefit from the innovation, efficiency, and market reach that they offer. This not only fosters a vibrant digital ecosystem but also ensures the long-term sustainability and inclusivity of DPI.
Globalizing the DPI approach will take more than linguistic adoption—it will require a degree of inductive reasoning. The DPI approach is in practice in India, Brazil, Singapore, Finland, Estonia, and Rwanda, amongst others. These use cases offer critical insights into how exactly other countries can drive inclusive growth, innovation, and empowerment through the thoughtful deployment of population-scale digital solutions. These experiences can help transform other economies. To be sure, the interoperable and open characteristics of the DPI approach allow for multiplication, taking the specific needs of a country and local contexts into consideration. Therefore, DPIs are quintessentially “glocal” in nature.
Building state capacity is an essential step in the glocalization of the DPI approach. At present, state capacity training and adoption happen in an ad hoc manner. The architects who build India and Estonia’s DPIs, for instance, travel around the world socializing the aforementioned principles and training different global communities. The support from nongovernmental organizations has been key. Yet, these are not scalable models for the glocalization of DPIs. There is a need to establish an institutional framework that can perform these functions. All too often, calls for institutional structures require large funding commitments. Though in the case of DPIs, they do not.
Creating a formal institution can help share expertise and build state capacities for the adoption of DPIs. It can institutionalize and generate consensus on the key principles mentioned above. It can also help serve as a live connection between countries, the private sector, multinational institutions, and diverse stakeholders (including startups and DPI architects). The core of expertise built in and around this institution could play a crucial role in building capacities in countries wanting to adopt DPIs and those already in different stages of adoption. Importantly, it would allow DPIs in different parts of the world to follow common principles, making sure that different systems remain interoperable and scalable.
Lastly, this institution could spur collaborations and knowledge transfer, which is the need of the hour. Once such an institution is in place, it could serve as a platform where policymakers, technologists, and businesses from around the world can collaborate to share experiences and best practices. Done right, this could be the genesis of a global community committed to leveraging the DPI approach for sustainable development.
This institution would have two key objectives.
Establishing Common Principles
The primary function of the institution would be to articulate a set of common principles that could help guide the technology and governance design of DPI as countries look to design their DPI strategies. These principles would need to be accompanied by a set of guardrails designed to prevent harm but also to nudge participants in the direction of positive behavior and outcomes. To be effective, an institution like this would need to be truly glocal. At the level of principle, countries may adhere to a common approach to building DPIs. Yet, at the practical level, they will of course shape their approach based on local requirements.
While it may be premature to look to develop standards at this early stage, the articulation of a set of clear but reasonably flexible principles can ensure that stakeholders work collaboratively, fostering a shared understanding of the potential risks and rewards associated with various technological and regulatory choices.
One of the principles that should be considered include inclusive design—the obligation to ensure that digital public infrastructure is, at all times, accessible to all citizens regardless of socioeconomic background, age, or ability. This will call for these systems to be user-friendly, affordable, and available in multiple languages. It would also be important to build in strong data protection measures adopting, where possible, principles of privacy by design, which prioritize the obligation to safeguard personal information and prevent unauthorized access, misuse, or disclosure. Finally, it is important to establish transparency and accountability by promoting the use of open data and establishing mechanisms for monitoring and evaluation.
Securing institutional buy-in for these principles will help forge global consensus on the need to incorporate them into national strategies, which will in turn help develop a shared vision for a common DPI approach that respects local contexts and priorities. As stakeholders align their efforts and gain experience in implementing these principles, it may eventually be possible to codify them into a set of technical and governance standards that will help drive sustainable development worldwide.
Capacity Building
It is equally important for countries embarking down this path to have the requisite technical and design capacity to continue to develop, evolve, and manage the DPI they implement. This is not just about developing a cadre of software developers capable of maintaining the systems that have been developed but also about inculcating an awareness of the design imperatives and strategic objectives of these systems in the regulators responsible for their supervision.
While it is up to countries to devise the strategies that will, in their respective contexts, motivate private sector players to develop the required technical skills, the institution can help them think through the structural incentives that could achieve this at scale. For instance, policies that incentivize private sector participants to improve strategic outcomes of DPI—by improving their existing workflows so that they can process a larger share of the pie than their competitors—could build skills by encouraging healthy competition.
In parallel, capacity-building efforts need to be strategically focused on regulatory institutions to ensure that they have the required skills to steer the participants toward the desired outcomes. This would call for a specific focus on enhancing the skills and knowledge of existing regulatory institutions and providing them training on technology trends, data privacy, and cybersecurity.
India’s DPI efforts continue to demonstrate the transformative potential of this approach. Importantly, it also demonstrates the ability of this approach to make upgradations easily, as demands and needs change. It is combining technology design philosophy, robust governance frameworks, and private sector involvement to create inclusive, efficient, and empowering population-scale systems.
This year, as discussions in the Global Digital Compact, the G20, Transform Africa, and many other forums consider the DPI approach, an institutional framework that facilitates knowledge sharing, collaboration, and the adaptation of the model to local contexts will be of benefit.
The emphasis should be on strategic investments, efficient resource allocation, and a new theory of change for the emergence of the global DPI model. This balanced approach demonstrates both dedication and resourcefulness, inspiring confidence in the same. It is important to keep in mind that at least fifty countries are in different stages of DPI adoption. In some sense, the train has long left the station. Now is the time to find common ground on the DPI approach. This can help actively bank the last mile and digitally connect the last person in the last village to an approach that, as India clearly shows, can transform societies and economies.
Views are personal and do not reflect the institutional positions where the authors work.
Carnegie does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.
ASEAN needs to determine how to balance perpetuating the benefits of technology cooperation with China while mitigating the risks of getting caught in the crosshairs of U.S.-China gamesmanship.
Elina Noor
As tech competition moves into the biotech sector, China is increasingly shifting its focus to nearby regions to alleviate U.S.-induced supply chain pressures. As part of this transition, Southeast Asia has emerged as a favored destination.
Xue Gong
While China will remain a significant political and economic force in the Global South, its ambition to leverage the Global South as a counterbalance to the United States and the Global North is far from assured.
Xue Gong
Ignoring the problems of its historical precedents won’t make China’s success any more likely.
Michael Pettis
Beijing’s reaction to Washington’s proposed ban on TikTok could manifest in three distinct scenarios.
Xing Jiaying, Li Mingjiang