Over 500m Africans do not have identity documents, rendering them virtually invisible. This can be rapidly reversed by the application of digital technology, which also adds economic benefits to the mix.
In Africa about 542m people do not have identity cards. Of this number, around 95m children under five have never had their births recorded, and 120m children do not have a birth certificate.
“The widespread absence of civil registration and vital statistics is a scandal of invisibility. Everyone has the right to be recognized as a person before the law. But without proof of legal identity, people cannot acquire a nationality and are effectively rendered stateless,” says Oliver Chinganya, Director, African Centre for Statistics at the ECA. “It makes learning difficult. Ultimately, countries lose out on productivity and human potential.”
The ECA sees this as an issue that can be resolved through linking digital identity and legal identity digitalization. But there is also a need within relevant ministries and departments to better plan, budget, advocate and scale up the delivery of legal documents, and create the necessary infrastructure which can go a long way to making ‘invisibility’ history.
“Formal identity systems are critical for making sure all citizens are treated fairly by their governments. A ‘legal identity for all’ is one of the United Nations Sustainable Development Goals, and aims to provide legal identity for all, including birth registration, by 2030. However, challenges such as a lack of infrastructure, political instability, and issues related to privacy and inclusivity remain to be tackled in many countries,” says Chinganya.
The solution lies in digital ID – an identity verified and authenticated to a high degree of assurance over digital channels. It is unique and established with individual consent. Unlike a paper-based ID, a digital ID is standardized, involves minimal data capture and can be verified remotely using digital means.
According to Mactar Seck, Chief of Technology and Innovation at the ECA, digital IDs would create economic value for countries, primarily by enabling a greater formalization of economic flows, promoting higher inclusion of individuals in a range of services, and allowing incremental digitization of sensitive interactions that require high levels of trust.
Economic benefits of digital ID
Analysis of digital ID systems indicates that implementing digital ID programs can help countries unlock economic value equivalent to between 3% and 13% of GDP by 2030. The implications are massively significant for Africa’s development and for ‘leaving no one behind’ in the push for the SDGs.
“Basic digital ID enables verification and authentication. A more advanced form of digital ID enables storing or linking additional information and provides opportunities for higher economic benefit,” explains Seck.
To ensure everyone is legally identified, countries need to approach legal identity as a public good and service. More public funding is needed for the implementation of civil registration and national identities.
The dark side
The dark side to digital identity and legal identity systems is the importance of addressing concerns about privacy, security, and the potential for identity theft or misuse of personal information.
Digital identity serves to authenticate and authorize individuals in various online environments like online banking, e-commerce, healthcare and social security transfers. As technology evolves, new methods of developing and managing digital identity are emerging, including systems that prioritize control over personal data.
Seck notes that digital ID can also unlock non-economic value not captured through quantitative analysis, such as inclusive access to education, healthcare, and labor markets. It is critical to safe migration and can contribute to greater levels of civic participation. But there are challenges in implementing digital IDs in Africa: these include limited infrastructure, low digital literacy and lack of trust in government institutions. Digital ID systems can work, if tailored to the unique needs and challenges of specific regions within Africa.
“The successful implementation of digital ID systems requires a comprehensive and collaborative approach, considering the specific needs and challenges of each African country,” says Seck, adding that regular assessments and adjustments based on feedback and changing circumstances will contribute to the long-term success of the initiative.
He stresses the need for collaboration and commitment between governments, international organizations, and the private sector, saying it is essential for the successful implementation of Digital ID Frameworks.