Government Fast-Tracks National Digital ID System amid Readiness Questions

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By: Staff Writer

September 30, Colombo (LNW): The Sri Lankan government has accelerated efforts to launch a nationwide Unique Digital Identity (SLUDI) system, a flagship initiative under its digital transformation agenda aimed at modernizing public service delivery, enhancing transparency, and enabling digital trust. The Digital Economy Ministry and the Information and Communication Technology Agency (ICTA) have begun selecting a local Managed Service Provider (MSP) to manage and operate the platform, marking a critical shift toward national ownership of the project.

The SLUDI system, funded under an Indian government grant, is currently being developed by a Master Systems Integrator (MSI). Once the system’s acceptance and security testing are completed, the MSI will hand over operational control to a Sri Lankan MSP. The transition, expected to begin in December 2025, will involve a six-month knowledge transfer period to ensure smooth continuity.

After the MSP assumes full responsibility, the Department for Registration of Persons (DRP) will launch nationwide collection of biometric and demographic data a process projected to start in the second half of 2026. This phase will mark the practical rollout of the digital ID, positioning it as a key enabler of e-governance, digital payments, and citizen authentication.

Officials say the SLUDI will underpin Sri Lanka’s broader shift to a digital economy by creating a secure, verifiable identity framework that can be integrated across key sectors such as finance, health, education, and public administration. “It’s not just an ID it’s the backbone for digital inclusion,” an ICTA official noted, emphasizing its potential to streamline services and reduce bureaucratic inefficiencies.

However, concerns remain over data protection, privacy safeguards, and institutional readiness. Experts warn that without a robust legal framework and independent oversight, centralizing citizens’ biometric data could expose them to surveillance and cyber threats. Civil society groups have also urged the government to ensure public consultation and transparency in the selection of the MSP, cautioning that mismanagement or weak cybersecurity could undermine public trust.

The ICTA recently issued a Request for Information (RFI) to evaluate the technical and financial capacity of local firms interested in managing the platform. Industry insiders say the challenge will be finding a provider with both cybersecurity expertise and long-term operational capability, given the project’s complexity.

While the government views SLUDI as a cornerstone of its “Smart Nation” strategy, successful implementation will depend heavily on the MSP’s competence and accountability. The transition from foreign-led implementation to local management represents both a milestone and a test one that could determine whether Sri Lanka’s digital future is built on innovation and trust, or hindered by technical and governance pitfalls.

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