The focus has shifted to Public-Private-Partnerships, and the government is leveraging a model that involves specialists who handle the entire suite of procurement and implementation services, with the government playing a monitoring role. The government is also leveraging the Build-Operate-Transfer (BOT) and the Build-Own-Operate-Transfer (BOOT) models. Thus, making the projects more effective.
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The UID project, unprecedented in scale, could have a long term impact on public sector IT projects, and the impact could extend beyond public sector projects.
Datamonitor believes that the Universal ID project (involves assigning an unique ID to all citizens with biometric authentication), could have far reaching consequences, such as extending banking to a broader base of citizens, streamlining of essential government processes such as benefits distribution, leading to major additional IT projects downstream.
Roy says, “We believe that the Universal ID Project marks a major step towards achieving what some major contemporary economists (notably the Peruvian economist Hernando De Soto) believe are necessary conditions for sustainable growth - an enforceable legal system that allows citizens access to credit, monetize their assets, and conduct business with individuals not tied by social bonds of family and community.”
A number of other e-governance projects such as Business-to-Government applications and land record digitization and the overall growth of B2C sectors such as telecommunications and banking could work in conjunction with the UID project to bring more people into the folds of the organized sector and create incentives for joining the organized sector.
Overall, the UID project over the long term can have a major impact, directly and indirectly, on the domestic IT sector. We believe that the benefits could start showing as early as 2016-2017.