The Role of Digital Trust and Expectations for Union Budget 2025
India stands at the forefront of digital transformation, fueled by robust initiatives that have redefined public infrastructure and private enterprise operations. As the Union Budget 2025 approaches, businesses and digital trust platforms, like OnGrid, anticipate a strong emphasis on further strengthening Digital Public Infrastructure (DPI). This expectation aligns with India’s larger vision of becoming a globally recognized leader in digital empowerment and innovation.
Piyush Peshwani, Co-founder and CEO of OnGrid, a leading digital trust platform specializing in background verification, shared his perspective. He emphasized that improving access to DPI could drive efficiency, trust, and innovation. His statement also highlights the role of technology in addressing regulatory compliance and enhancing trust in economic transactions.
Digital Public Infrastructure: The Foundation for a Trustworthy Economy
Digital Public Infrastructure (DPI) serves as the backbone of India’s digital transformation journey. It facilitates efficient verification processes for individuals and entities. Consequently, DPI has significantly reduced costs, enhanced trust, and ensured safety in various sectors.
- Why DPI Matters: DPI provides tools like Aadhaar-based verification and digitized credentials, which enable secure and efficient regulatory compliance.
- Potential Impact: By streamlining access to DPI, the government could empower startups and large enterprises to innovate while maintaining security standards.
However, the current licensing approach to DPI access often creates unnecessary complexities. It limits the involvement of smaller entities that could otherwise contribute to innovation. Therefore, simplifying access to DPI should become a primary focus in the upcoming budget.
Access to DPI: Leveling the Playing Field
Access to DPI must not favor large enterprises over smaller startups. Equal access ensures fair competition and fosters innovation across industries. Peshwani points out that a balanced approach, incorporating necessary checks and balances, could enable small yet genuine startups to benefit from DPI just as larger enterprises do.
- Challenges: Small startups often face barriers to entry due to high compliance costs and limited access to critical infrastructure.
- Proposed Solutions: The government should implement policies that democratize access to DPI, reducing bureaucratic hurdles for all stakeholders.
This shift will not only enhance trust and safety but also allow innovative ideas to flourish, driving economic growth in the process.
Role of Digitized Credentialing in Economic Transactions
Digitized credentialing has become indispensable in building trust and improving transparency in economic activities. With advancements in AI-powered KYC (Know Your Customer) and KYB (Know Your Business) processes, verification has become faster and more accurate.
- Importance of Digitized Credentialing: It ensures that businesses and individuals engaging in transactions are credible and meet regulatory standards.
- AI-Powered Verification: Artificial intelligence enhances the efficiency of KYC and KYB processes by reducing human error and processing time.
By promoting digitized credentialing, the budget could significantly boost trust in economic transactions, ensuring that both businesses and consumers feel secure.
Regulatory Compliance: A Barrier or an Enabler?
Regulatory compliance often presents challenges for businesses, particularly smaller startups that may lack the resources to navigate complex procedures. However, with the right infrastructure, compliance can become an enabler of trust and safety rather than a barrier.
- Simplified Compliance Frameworks: Streamlining compliance procedures and reducing redundancies can save costs and encourage wider participation in the digital economy.
- Integration with DPI: Leveraging DPI for regulatory processes can further enhance efficiency and trust while reducing operational costs.
Such measures would allow businesses to focus more on innovation and less on bureaucratic hurdles, aligning with the broader goals of the budget.
AI and the Future of Verification
Artificial intelligence continues to transform industries by enabling faster, more secure, and scalable solutions. In the context of background verification, AI-powered tools can identify risks, prevent fraud, and ensure compliance with minimal human intervention.
- Scalability with AI: AI allows organizations to verify large volumes of data quickly, ensuring seamless onboarding processes for customers and employees.
- Fraud Prevention: By detecting anomalies and patterns, AI strengthens security in economic transactions.
Encouraging investments in AI-powered verification systems through budget incentives could position India as a global leader in digital trust solutions.
Simplifying Processes for Startups
Startups play a pivotal role in driving economic innovation and employment. However, they often face challenges due to limited resources and complex regulatory requirements. By simplifying processes and providing equitable access to DPI, the government can unlock the potential of startups.
- Benefits for Startups: Easier access to verification tools and DPI reduces operational costs and enhances credibility in the market.
- Growth Catalyst: Budget provisions that support startups could create a ripple effect, driving innovation and economic growth across sectors.
Such measures would ensure that even small businesses can compete effectively, contributing to India’s vision of a digitally empowered economy.
Building a Digitally Empowered Economy
India’s commitment to digital empowerment has been evident in its initiatives like Aadhaar, UPI, and the India Stack. However, the next phase of growth requires a more inclusive approach to technology adoption.
- Inclusive Growth: Providing equal opportunities for businesses of all sizes ensures that no entity is left behind in the digital revolution.
- Sustainability Focus: Digitized processes reduce the environmental impact of paper-based transactions, aligning with global sustainability goals.
The upcoming Union Budget has the potential to reaffirm India’s dedication to creating a digitally empowered, inclusive, and sustainable economy.
Conclusion: A Vision for the Future
The Union Budget 2025 offers a unique opportunity to strengthen India’s digital trust ecosystem. By simplifying access to DPI, promoting digitized credentialing, and encouraging AI-powered verification, the government can drive trust, safety, and innovation.
As Piyush Peshwani aptly states, the budget must act as a catalyst for growth while reaffirming India’s vision of a digitally empowered economy. By prioritizing fairness, efficiency, and transparency, India can set a global benchmark in digital transformation.
Through collaborative efforts between policymakers and private enterprises, the vision of a truly digital India is well within reach. With the right support, businesses of all sizes can thrive, ensuring that the benefits of technology are accessible to everyone.
Key CX Takeaways in Digital Trust
- Enhanced Accessibility to Digital Public Infrastructure (DPI):
Simplifying access to DPI ensures seamless verification processes, fostering trust and efficiency for businesses and customers alike. - Democratized Access for Startups:
Equal access to DPI empowers startups, enabling them to compete with larger enterprises while driving innovation and customer satisfaction. - AI-Powered KYC and KYB Processes:
Artificial intelligence enhances the accuracy and speed of verification, creating a smoother onboarding experience for customers. - Streamlined Compliance Frameworks:
Reducing complexity in regulatory compliance saves time and costs, ultimately improving the customer journey and trust. - Digitized Credentialing for Trust and Security:
Secure digital credentials enhance transparency and credibility, reinforcing confidence in economic transactions. - Focus on Scalability and Fraud Prevention:
AI-based verification ensures businesses can scale efficiently while maintaining customer safety and trust. - Sustainability through Digital Transformation:
Moving away from paper-based processes reduces environmental impact, aligning digital trust initiatives with global sustainability goals. - Inclusive Growth Across Business Sizes:
Providing equal opportunities for small and large enterprises builds trust among stakeholders and drives customer loyalty.
These takeaways highlight how digital trust initiatives, when implemented effectively, enhance customer experiences and foster a secure, transparent ecosystem.
