In a recent development, India’s Unique Identification Authority of India (UIDAI) has responded robustly to concerns raised by Moody’s Investors Service regarding the country’s Aadhaar digital ID system. Moody’s had expressed doubts about Aadhaar’s reliability and noted instances of service denials in its report, which sparked a response from UIDAI.
UIDAI issued a strong rebuttal, stating that Moody’s had made sweeping assertions against Aadhaar without providing any concrete evidence or basis for its claims. UIDAI also pointed out that over a billion Indians have expressed their trust in Aadhaar by using it over 100 billion times for authentication over the past decade.
The Union Ministry of Electronic and IT also criticized Moody’s report, stating that it failed to provide any primary or secondary data or research to support its opinions and assertions about Aadhaar.
One of the key concerns raised by Moody’s was regarding the reliability of biometric technologies used in the Aadhaar system, particularly for manual laborers. In response, the Indian government clarified that certain schemes, such as the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS), do not require biometric authentication for payments. Instead, workers receive their payments directly credited to their bank accounts.
The government further emphasized that Aadhaar offers multiple methods for biometric submission, including contactless means such as face authentication and iris authentication. Additionally, many use cases allow for mobile OTP authentication, providing flexibility and convenience to users.
Addressing the security and privacy concerns raised by Moody’s, the government stated that no breach has been reported from the Aadhaar database to date. It reiterated that Aadhaar’s security measures and privacy safeguards are robust and effective.
The government also highlighted that Aadhaar has received praise and recognition from global institutions such as the International Monetary Fund (IMF) and the World Bank. These organizations have acknowledged the significant role played by Aadhaar in advancing financial inclusion in India.
Aadhaar, issued by UIDAI, is a pioneering digital ID system that assigns a unique number to individuals based on their biometric data, including fingerprints, facial recognition, and iris scans. This digital ID has been instrumental in streamlining various government programs and services, including financial inclusion initiatives and social welfare schemes.
The response from UIDAI and the Indian government underscores their unwavering commitment to the security and reliability of the Aadhaar digital ID system. They have emphasized Aadhaar’s pivotal role in India’s digital identity landscape and its contribution to empowering citizens by providing access to essential services and benefits.