South Africa’s social grant system has been a cornerstone of social protection for millions, yet its inefficiencies highlight a need for reform. Among proposed solutions, the integration of digital public infrastructure (DPI) offers a transformative vision for improving service delivery:

Imagine a social grant system where parents can sign up for the Child Support Grant (CSG) while visiting antenatal clinics, ensuring immediate coverage from birth to maximise the developmental impact of the grant (Department of Social Development, 2023: 91). Following birth, a child’s registration details could be seamlessly and safely shared with the Department of Health, triggering reminders and appointments for timely immunisations. In turn, this interoperable system would inform the Department of Education, automatically sending notifications or pre-enrolling children when they reach the appropriate school-going age, thereby reducing administrative burdens and ensuring that every child accesses both essential healthcare and education services from the start of life.

Given the immense potential of this vision, it is easy to see why, in recent years, large donor organisations have upped their investments into DPI programmes (Cheney, 2022). Yet this influx of funding only heightens the need for policymakers to have a sharp understanding of DPI: what it entails, how it functions, and the host of practical and ethical challenges—ranging from data privacy to inclusive access—it presents.
This post explores the promise of DPI in reshaping South Africa’s social protection landscape, examines the risks and challenges associated with its implementation, and highlights areas requiring urgent attention, such as cybersecurity, inclusion, and governance.

What Is Digital Public Infrastructure (DPI)?

DPI refers to the foundational systems and structures that enable large-scale digital service delivery. It includes tools like digital identity systems, data-sharing frameworks, and payment platforms, all designed to enhance interoperability, inclusivity, and security. Without a robust DPI, countries will struggle to take full advantage of innovations like digital cash transfers or e-health services.

Figure 1: Digital public infrastructure

Source: Adapted from World Bank (2022) and AfricaNenda (2023)

At its core, DPI consists of the following key elements (UNDP, 2022):

• Digital Identity Systems: Digital identity systems provide secure, identification for individuals via online ID verification, verifiable credentials, or electronic signatures, which is crucial for accessing a wide range of services, including government programs and financial transactions. Some examples include the Aadhaar system in India, Digi-ID in Estonia, and Sistema de Identidad Digital in Argentina.
• Consent-based data sharing: Protecting personal data must be fundamental to DPI. Consent-based data sharing ensures individuals control how their data is collected, used, and shared. This not only safeguards privacy but also aligns with global data protection standards like the General Data Protection Regulation (GDPR) (UNDP, 2022).
• Data Exchange Systems: Data exchange systems enable the secure sharing and management of information across various government departments and agencies. These systems ensure that data can be accessed and utilised effectively to inform decision-making and improve service delivery. Uganda’s UGhub is an example of such a system – a centralised digital platform that connects government agencies such as the Uganda Revenue Authority, the National Identification and Registration Authority, and the Ministry of Health, enabling them to exchange data in real time.
• Digital Payment Systems: Digital payment systems facilitate electronic transactions, making financial interactions efficient, transparent, and secure. In conjunction with functional digital identity systems, digital payment systems enable governments to reach people irrespective of the person’s integration into formal financial systems. Digital payment platforms streamline financial transactions, ensuring transparency and efficiency. However, their success hinges on accessible financial infrastructure and robust cybersecurity.

South Africa’s DPI Landscape: A Mixed Picture

South Africa is still in the early stages of building robust digital public infrastructure (DPI), hindered by a persistent digital divide. Although 5G coverage has increased from 20% to 38.42% between 2022 and 2023 (ICASA, 2024), regional disparities remain prevalent, with provinces like Limpopo and the Northern Cape facing infrastructure challenges, high data costs, and lower adoption rates. While data prices have decreased following the Competition Commission’s 2020 mandate, affordability remains a barrier for low-income communities, limiting their ability to participate in digital services. Moreover, as digital-only systems gain traction, individuals without reliable internet access, mobile devices, or necessary identification documents risk exclusion from critical government and social services. Without targeted measures to address these gaps—through infrastructure expansion, further data price reductions, and inclusive policies—vast segments of the population will remain locked out of the very systems designed to serve them.

Cybersecurity must also be prioritised to ensure South Africa develops robust digital public infrastructure. The centralised architecture inherent to DPI systems presents unprecedented attack surfaces for cyber threats, where successful breaches could potentially compromise national-scale datasets containing sensitive citizen information, financial records, and critical administrative data. This vulnerability is particularly acute in emerging economies, where rapid digital transformation may outpace cybersecurity capacity building. South Africa’s cyber infrastructure has faced significant threats in recent years. High-profile incidents, such as the hacking of the Department of Justice in 2021 and Transnet’s ransomware attack, underscore vulnerabilities in government systems (Mtsweni and Mphahlela, 2024). These breaches disrupt services and erode public trust, highlighting the urgent need for proactive cybersecurity measures.

The Risks of DPI Implementation

While DPI offers numerous benefits, it also concentrates power within the state, raising questions about data privacy and the balance of power between citizens and government. The success of DPI hinges on addressing these risks. Unchecked, DPI could exacerbate inequalities, reinforce exclusion, or lead to misuse of sensitive data.

The creation of a National Integrated Management System in Kenya, known as Maisha Namba, offers value insights into the challenges of implementing DPI. Introduced in 2023, Maisha Namba intends to provide all Kenyan citizens with a unique digital identifier, integrating biometric and personal data to streamline access to government services, banking, and social benefits while addressing the country’s digital economy goals. While Maisha Namba illustrates the potential of DPI, its rollout has faced significant hurdles, including legal issues due to the absence of a Data Protection Impact Assessment (DPIA) and data security concerns over extensive database access granted to numerous entities (BioMetric Update, 2024). These challenges reveal that DPI implementation needs to be carefully thought through and highlights the importance of civic engagement when introducing new systems of this nature.

Digital public infrastructure offers significant potential to enhance social protection systems in South Africa, but it is not a silver bullet. Rather than relying solely on pre-packaged systems or adopting technologies without confirming a real need, we should conduct thorough assessments of any proposed approaches—both to gauge responsiveness to local contexts and to identify potential human rights implications before implementation. The success of DPI depends on addressing systemic challenges, including cybersecurity, digital inclusion, and governance. To do so, South Africa needs to prioritise getting the fundamental elements in place before taking the next steps.

References:
AfricaNenda. 2023. The State of Inclusive Instant Payment Systems in Africa.

BioMetric Update. Kenya’s national digital ID: Lofty project on a bumpy ride. 5 August 2024. https://www.biometricupdate.com/202408/kenyas-national-digital-id-lofty-project-on-a-bumpy-ride

Cheney, C. 2022. Devex. https://www.devex.com/news/why-donors-are-backing-a-global-push-for-digital-public-infrastructure-104007

Department of Social Development. (2023). Reducing Child Poverty: Reducing child poverty and the value of the Child Support Grant.

ICASA. 2024. The State of the ICT Sector Report of South Africa.

Mtsweni and Mphahlela. 2024. https://mg.co.za/thought-leader/opinion/2024-11-02-south-africas-leaders-must-prioritise-cybersecurity-before-its-too-late/

Slemming W, Biersteker L & Lake L. South African Child Gauge. Cape Town: Children’s Institute, University of Cape Town. 2024.

World Bank. 2022. A Digital Stack for Transforming Service Delivery: ID, Payments, and Data Sharing.