【ADB】Exploring the Different Financing Models for Digital Public Infrastructure and Why They Matter

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3.0 林sir 2024-05-21 35 217.52KB 6 页 免费
侵权投诉
David Eaves, Associate Professor in Digital Government, UCL Institute for Innovation
and Public Purpose
Mansi Kedia, Senior Fellow, Indian Council for Research on International Economic
Relations
Exploring the Different
Financing Models for
Digital Public Infrastructure
and Why They Matter
brief
policy
Key Points
• Despiteincreasinginstances
ofdigitalpublicinfrastructure
(DPI)deployment,thereislittle
publicinformationonhow
differentDPIsarefinancedand
practicallynopubliclyavailable
estimatesonhowmuchitcosts
toimplementaDPI.
• FinancingofDPIsisa
complexissueinvolving
decision-makingonpublic
policyobjectives,operations,
stakeholdermanagement,and
governance.
• FinancingofDPIscanbe
understoodusingthestrategic
triangleframeworkthat
weavestogetherthreekey
elementsofanypolicypriority:
(i)publicvalue,(ii)operational
feasibility,and(iii)supportor
politicalfeasibility.
• Policydiscussionsonfinancing
ofDPIsshouldincludeboth
capitalandoperationalcosts
ofaDPI.
• TheG20shouldbuildknow-
howonfinancingmodelsfor
DPIs,includingfinancingDPIs
forlow-incomecountries,and
encouragetheacceptanceof
differentfinancingchoices
adoptedbycountries.
No. 2024-6 (April)
© 2024 Asian Development
Bank Institute
ISSN 2411-6734
DOI: https://doi.org/10.56506/
VYDL5566
This work is licensed under a
Creative Commons Attribution-
NonCommercial-ShareAlike 4.0
International License.
1. Introduction
Digitalpublicinfrastructure(DPI) isa new conceptualmodelfor services—such as
identity,monetarytransactions,credentialmanagement,anddataexchange—that
are essential to participating in society and markets in the digital era.1 With the
rightgovernanceandfinancing,DPIscanimprove“knowyourcustomerprovisions,
facilitatingaccesstoprivateandpublicservices,andimproveaccesstobankingand
financial services. During the COVID-19 pandemic, countries with DPIs were able
to deposit money directly into the bank accounts of target populations quickly,
efficiently,andwithreducedriskofleakage.2Thereissignificantandgrowinginterest
bycountriesaroundtheworldinDPI.Howitscomponentsareadoptedandfinanced
carriesbothrisksandopportunities.
DPIs have two key conceptual elements. As infrastructure, they cut through the
siloedapproachofdesigningandimplementingdigitalsolutionswithinteroperable,
society-scale programs that shift innovation and competition to activities that
take place atop it. For example, a single electrical grid, by standardizing voltage
and amperage, eliminates competition around the delivery of power but creates
vast competitive markets around items (like appliances) that use power. As public
infrastructure, DPIs prioritize access and inclusion over profits, similar to how
electricityandwaterareprovisionedinmuchoftheworld.
Because DPIs are a combination of software, standards, and policy, they can be
replicatedandadoptedbycountriesmorequicklythantheirphysicalinfrastructure
counterparts. For example, the Modular Open-Source Identity Platform, a digital
public good3 born out of Aadhaar, Indias homegrown digital identity programme
1 Eaves, D., and J. Sandman. 2023. What Is Digital Public Infrastructure? UCL IIPP Blog. April. https://
medium.com/iipp-blog/what-is-digital-public-infrastructure-6fbfa74f2f8c(accessed10April2023).
2 India’sWorldClass DigitalInfraWorth EmulatingbyManyNations.Outlook. April 2023.https://www.
outlookindia.com/business/india-s-world-class-digital-infra-worth-emulating-by-many-nations-imf-
paper-news-276531(accessed6Jun2023).
3 Digital Public Goods Alliance (DPGA) Registry. https://digitalpublicgoods.net/registry/modular-open-
source-identity-platform.html(accessed23May,2023).
ADBI Policy Brief No. 2024-6 (April) 2
(oneoftheworld’sleadingDPIs),isbeingimplemented
inseveralothercountries,includingSriLanka,Ethiopia,
Morocco,thePhilippines,Guinea,andTogo.4
Giventherapidspreadofthisnewtypeofinfrastructure,
how DPIs are financed is quickly becoming a complex
issue that encompasses questions of objectives,
operations,stakeholdermanagement, andgovernance.
Importantly,financingdoesnotrelateonlytotheinitial
capital,butrecurringcosts relatedto maintenanceand
upgradingthesystem.Thelifetimeinvestmentismuch
morecriticalthanthefundingrequiredforsettingupa
DPI,madereadilyavailablebygovernments,multilateral
organizations, and philanthropic institutions. Indeed,
while there are important lessons that can be drawn
fromphysicalinfrastructureprojects,theremayalsobe
limits.Softwaredoesnotalwaysadheretotheprinciple
ofhighupfrontcapitalcostand(relatively)lowongoing
operational expenses. Quite the opposite, ensuring
ongoing interoperability, addressing cyber threats,
andmanagingincreased adoptionand scalecancause
operationalcoststoexceedcapitalcosts.
2. A Framework for Financing DPIs
Financing DPIs can be explored through a conceptual
framework based on the strategic triangle proposed
byscholarMark Mooreforpolicydesign andanalysis.5
The framework suggests three key components for
any successful policy: (i) public value; (ii) operational
feasibility including financial, legal, technical, and
managerial; and (iii) support or political feasibility.
Therefore,financingasacorecomponentofoperational
feasibilitycannotbeseparatedfrompublicvalueorthe
primary objective of a DPI. Importantly, even similar
DPIs need not necessarily be conceived for the same
objectivesorpublicvalue.Forinstance,twocomparable
digitalpaymentDPIs,IndiasUnifiedPaymentInterface
(UPI)and Brazil’sPix,wereconceptualizedfordifferent
primary objectives. For UPI, it was to accelerate the
adoptionofdigitalpaymentsandaddresstheproblem
of financial exclusion; while for Pix, it was to catalyze
marketcompetitionandinnovationindigitalpayments.
Operationally, UPI is funded and supported by a
consortiumofbanks,whilePixisfundedandsupported
byBancoCentraldoBrasil(Brazil’scentralbank).While
UPI is currently free of cost for all categories of users,
Pixchargesatransactionfeeformerchanttransactions.
These are two distinct financing models that align
with specific stated goals—one led by an industry
consortiumthatenablesprivate-sectorparticipationto
improvefinancialinclusionandtheothermandatedby
the government to enhance market participation and
competitionusingatransactionfeemodel(Figure1).
Thereisathirdmodeloffinancingthatisgovernment-
ledfortheinitialcapitalaswellasthroughthelifecycle
of the DPI. For example, Aadhaar has been entirely
funded by the government since its launch in 2009.
4Sanzgiri, V. 2022. Six Countries Take Up IIIT-B’s Aadhaar-Like Digital Identity Programme. Medianama. July. https://www.medianama.
com/2022/07/223-six-countries-take-up-iiit-bs-aadhaar-like-digital-identity-programme/(accessed10April2023).
5 Moore,M.H.2013.PublicValuePropositionsandtheStrategicTriangle.HarvardUniversity.https://scholar.harvard.edu/markmoore/publications/
public-value-propositions-and-strategic-triangle(accessed23May2023).
Figure 1: Strategic Alignment for Digital Payment DPIs
Source: Authors, Adapted from Moore (2013).
Support:
Government
patronization and
regulated entities
UPI
(India)
Public Value:
Digital payments
and financial
inclusion
Operational
Feasibility:
Industry consortia
Pix
(Brazil)
Public Value:
Driving
competition and
innovation in
digital payments
Operational
Feasibility:
Government-led
private sector
participation
Support:
Government
mandated
stakeholder
participation
摘要:

DavidEaves,AssociateProfessorinDigitalGovernment,UCLInstituteforInnovationandPublicPurposeMansiKedia,SeniorFellow,IndianCouncilforResearchonInternationalEconomicRelationsExploringtheDifferentFinancingModelsforDigitalPublicInfrastructureandWhyTheyMatterbriefpolicyKeyPoints•Despiteincreasinginstanceso...

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