India’s Digital Public Infrastructure: Revolutionising Growth, Inclusion, and Global Influence

In an era where technology underpins progress, India’s journey in crafting and scaling its Digital Public Infrastructure (DPI) offers a blueprint for transformative growth and inclusion. The ambitious vision—spanning Aadhaar, Unified Payments Interface (UPI), DigiLocker, and emerging frameworks like the Ayushman Bharat Digital Mission (ABDM)—reflects a commitment to leveraging technology for societal and economic advancement. As we step into the “Techade” of India, the story of DPI isn’t merely about digital tools but about unlocking unparalleled opportunities for billions.

The Power of Foundational DPIs

India’s DPI architecture is built on three fundamental pillars: identity, payments, and data. Aadhaar, the world’s largest biometric-based identity system, forms the cornerstone, empowering over 1.3 billion citizens. It facilitates direct benefit transfers (DBT), eliminating leakages and ensuring transparency in welfare programs. In 2022 alone, Aadhaar enabled economic value creation of $15.1 billion, primarily through DBT savings and cost efficiencies.

Complementing Aadhaar, UPI has revolutionised payments. With over 74 billion transactions valued at $1.5 trillion in 2022, UPI not only simplified transactions but also boosted financial inclusion, increasing bank account ownership from 44% in 2014 to 77% in 2023 under the Pradhan Mantri Jan Dhan Yojana (PMJDY). Meanwhile, DigiLocker, with its secure digital document storage, is driving efficiency across education, governance, and employment sectors, with 157 million registered users by mid-2023.

These infrastructures—interoperable, consent-based, and open API-driven—set a global standard for scalability and inclusivity.

Economic Impact and the Road to 2030

India’s DPI ecosystem has contributed 0.9% to GDP in 2022 and is projected to expand this contribution to 2.9-4.2% by 2030. This transformative growth hinges on two factors:

1. Maturation of Budding DPIs: Emerging platforms like ABDM and Open Network for Digital Commerce (ONDC) promise significant impacts. ABDM’s integration of digital health records and services can enhance labor productivity through better health outcomes. Similarly, ONDC is poised to democratise e-commerce, empowering small businesses and boosting retail spending.
2. Technological Convergence: Innovations in artificial intelligence, Web3, and IoT are poised to enhance user experience and operational efficiencies. UPI’s integration with blockchain, for instance, can bolster transaction security, while ABDM’s AI-driven analytics can predict healthcare trends and optimise resource allocation.

By 2030, DPIs are expected to create an interconnected digital economy, driving inclusive growth, reducing inefficiencies, and fostering innovation.

A Global Blueprint for Digital Transformation

The success of India’s DPI has sparked global interest. Over 30 countries are exploring UPI and Aadhaar-inspired frameworks to address financial inclusion and governance challenges. Singapore’s PayNow-UPI linkage exemplifies cross-border payment innovation, reducing remittance costs significantly. If globally adopted, UPI could cut remittance costs from 4% to 1%, potentially saving $3 billion annually for India alone.

Several nations are adopting India’s digital frameworks. The Philippines and Morocco have implemented Aadhaar-like systems to improve governance and citizen identification. Brazil and Indonesia, inspired by UPI’s model, are piloting similar payment systems tailored to their economies. Russia’s exploration of integrating UPI with its Mir payment system underscores the global appeal of India’s open-source, interoperable approach.

Australia, while focusing on healthcare digitisation, seeks to integrate learnings from India’s ABDM to achieve near-universal digital health records. Estonia, a leader in e-governance, is collaborating with Indian stakeholders to align its digital identity frameworks with Aadhaar-like features, emphasising scalability and interoperability. South Africa and Nigeria, grappling with financial exclusion, are also in discussions to adopt UPI and Aadhaar-based models to enhance economic participation.

Healthcare presents another avenue for global collaboration. While India’s ABDM aspires to streamline health services, countries like South Korea showcase the potential of paperless hospitals, and Australia’s My Health Record system ensures comprehensive digital health coverage. A unified global approach to digital health could enable rapid epidemic response and equitable access to care.

Challenges on the Horizon

Despite its successes, India’s DPI journey faces hurdles:

1. Interconnectedness: Fragmented governance across ministries limits the seamless execution of DPIs. Cross-ministry collaboration and data sharing are vital for scaling impacts.
2. Cybersecurity and Privacy: As data-sharing architectures expand, safeguarding citizen data through robust cybersecurity frameworks and consent-driven systems is paramount.
3. Language and Accessibility: Bridging the linguistic divide is crucial to ensure that citizens from diverse linguistic backgrounds can equally benefit from digital services.

Proactive policy support, offline workshops, and public-private collaborations will be critical to overcoming these barriers.

Future Vision: A Citizen-Centric Ecosystem

By 2030, India’s DPIs could catalyse a citizen-centric ecosystem, where:

• Smart Cities Flourish: Platforms like Kochi’s Open Mobility Network integrate urban transport across modes, reducing congestion and pollution.
• Education Becomes Digital: The National Digital Education Architecture (NDEAR) democratises learning for 500 million students, integrating AI to tailor content.
• Healthcare is Transformed: A next-generation ABDM leverages cloud computing and AI for predictive care, epidemic management, and personalised health solutions.

Moreover, DPIs will underpin India’s efforts to meet Sustainable Development Goals (SDGs), addressing poverty, education, health, and climate challenges.

Conclusion: Leading the Global Digital Age

India’s DPI revolution is more than a technological feat; it’s a narrative of empowerment, inclusion, and foresight. As the world’s largest democracy scales its digital infrastructure, it is setting benchmarks for equitable and sustainable development. The path forward demands collaboration among government, businesses, and citizens to realise the full potential of DPIs.

Countries worldwide are not just observing but actively replicating India’s digital frameworks. This diffusion of innovation marks a shift in global digital paradigms.“India’s DPIs demonstrate how digital transformation can transcend borders, creating a global framework for inclusion and innovation. The question is no longer if, but how quickly we can achieve a truly interconnected digital future.”