Sri Lanka asks India for more funding after digital ID bids exceed grant

Negotiations are underway for the Sri Lanka Unique Digital Identity (SL-UDI) project funding gap, after bids from shortlisted vendors came in at more than double the INR 3 billion (approximately US$35 million) grant initially pledged by the Indian government.

The SL-UDI project uses a hybrid implementation model with an Indian Master System Integrator (MSI) for software infrastructure and a local Sri Lankan Managed Service Provider (MSP) for long-term operations.

Deputy Minister Eranga Weeraratne told Biometric Update that discussions with the Indian government focused on increasing the grant to match the bids submitted by shortlisted bidders.

“We are requesting them to increase the grant amount to fit in the pledged amounts by the companies that were shortlisted for the master systems integrator in the tender process. We hope to have a positive response within two weeks.”

Shortlisted companies include Infosys, Tata Consultancy Services, Protean e-Gov Technologies, RailTel, and Bharat Electronics.

Ministry officials said Sri Lanka’s Ministry of Digital Economy and Indian counterparts are assessing the proposals on a combination of technical and commercial merit rather than lowest cost alone. Evaluations have been submitted to the Project Management Committee, and no decision has been made.

The Indian High Commission noted that the remaining requirements are procedural and an official announcement is imminent.

India’s High Commissioner to Sri Lanka, Santosh Jha, described the initiative as more than a technology deployment, saying the digital identity program represents a nation-building effort with the potential to transform public services, social inclusion and economic development.

Congratulating Deputy Minister of Digital Economy Eranga Weeraratne and Senior Presidential Advisor on Digital Economy Dr. Hans Wijayasuriya for their commitment to the initiative, Jha said the project would lay the foundation for Sri Lanka’s digital economy.

“When every citizen has a verified and trusted digital identity, something very fundamental changes. Social inclusion stops being a policy goal and becomes a practical reality. For Sri Lanka’s innovation economy, this is the foundational layer that makes everything else possible – fintech, e-commerce and digital government services,” he said.

The selected MSI will deliver the digital identity platform which includes supplying data center hardware, customizing the MOSIP platform and deploying biometric enrolment kits across the country.

Article Topics

biometrics  |  digital ID  |  funding  |  India  |  MOSIP (Modular Open Source Identity Platform)  |  procurement  |  SL-UDI (Sri Lanka Unique Digital Identity)  |  Sri Lanka