MyDigital ID: What Does It Mean For Malaysians & Digitalisation Efforts in Malaysia?

Have you heard about the latest digital innovation in Malaysia?

Imagine holding your future in the palm of your hand, compact within a digital identity known as MyDigital ID1.

With the increasing reliance on digital technology, having a secure and trusted digital identity has never been more critical.

As a Malaysian, this revolutionary tool is reshaping your interaction with the digital world, marking a significant step towards the country’s digitalisation efforts.

But what does this mean for you, and how does it affect Malaysia’s larger digitalisation landscape?

Let’s explore these questions further as we navigate the possibilities and implications of this digital shift.

Understanding the MyDigital ID Concept

MyDigital ID2 is a national identity management and transaction signing platform that will be publicly available from July 2024 onwards.

MyDigital ID is here to tackle the weaknesses we often see in today’s identity management systems – things like unsafe communication channels and how user credentials are stored.

What they aim for with MyDigital ID is to make the experience of confirming your identity quicker and safer, whether face-to-face or online.

Forget the hassle of multiple logins; all you need is a single ID.

And the best part? It’s compatible with your Android and iOS devices. Whether you’re conducting routine web and mobile app transactions or diving into eKYC, they’ve got your back.

Does MyDigital ID Replace MyKad?

MyDigital ID is not meant to replace MyKad or any other identification documents but serves as an online identification for transactions conducted on the platform.

It offers secure and valid identity verification for online transactions, single sign-on convenience for multiple applications, and easy access to government services.

MyDigital ID does not store biometric data, monitor users online, or allow for multiple digital identities. The registration process requires users to provide identification documents, such as MyKad but does not involve using biometric data.

Who Developed MyDigital ID

MyDigital ID is an initiative by the government, and while it is not mandatory, citizens are encouraged to register and use the platform for the security of their personal information and access to various applications.

MIMOS Berhad3 is responsible for overseeing and coordinating the MyDigital ID project, and the system was developed by utilising local talent and complying with Environmental, Social, and Corporate Governance (ESG) standards.

Benefits of MyDigital ID for Malaysians

Enhanced Security Features

With MyDigital ID, Malaysians can enjoy fortified security features that significantly reduce the risk of identity theft and cyber fraud.

In addition, the unique identifier linked to your MyDigital ID isn’t easily decipherable, making it challenging for cybercriminals to hack.

You’re also notified whenever your ID is used, allowing for immediate detection of any unauthorised usage.

Streamlining Government Services

This digital identification system streamlines your dealings with government agencies, reducing the need for physical documents and in-person visits.

Think about applying for permits, renewing licenses, or paying taxes. With MyDigital ID, you can do these tasks online securely, saving you time and resources.

It’s a game-changer in the way you transact with the government.

Efficiency Gains

MyDigital ID facilitates cost savings by consolidating the need for various online identification methods into a single platform.

This consolidation eliminates the costs associated with managing multiple identification systems and the potential for human error.

The streamlined processes also reduce overhead costs, leading to overall operational efficiency. The saved time can then be redirected towards more important tasks contributing to economic development.

Potential Challenges and Concerns Towards MyDigital ID

Data Privacy and Security

One of the most significant challenges in implementing the MyDigital ID in Malaysia is the issue of data privacy and security.

The system will store vast amounts of personal information, which could become a target for cybercriminals.

In December 2022, a significant data breach affected nearly 13 million citizens of Malaysia4.

This is especially concerning considering the proposed MyDigital ID initiative.

Additionally, according to a cybersecurity report by Surfshark5, a provider of virtual private network services, Malaysia was ranked as the “eighth most breached country” in the third quarter of 2023, experiencing almost 495,000 account leaks. This was a significant increase of 144% compared to the previous quarter.

A data breach could lead to unauthorised access to and misuse of personal information, leading to identity theft, financial loss, and a significant crisis in public confidence in the system.

Therefore, the system’s security measures must be robust enough to withstand potential cyberattacks.

Public Acceptance and Trust

The successful implementation of the MyDigital ID system heavily relies on public acceptance and trust.

The public needs to have confidence in the system’s ability to protect their personal information. Any perceived weaknesses or actual incidents of data breaches could significantly erode this trust.

Furthermore, the public needs to understand how the system works, its benefits, and their responsibilities in protecting their information.

This may be challenging, given the country’s varying levels of digital literacy.

Infrastructure and Accessibility

Some areas in Malaysia have limited or no access to reliable internet service. There are also issues with power stability in some areas, which could affect the system’s usability.

Moreover, not everyone in Malaysia has access to a smartphone or a computer, which is necessary to use the MyDigital ID.

The government will need to ensure that the system is accessible to all Malaysians, regardless of their location or socio-economic status.

This may require significant investment in digital infrastructure and initiatives to increase digital literacy.

Legal and Regulatory Framework

Implementing MyDigital ID will require a solid legal and regulatory framework to address data privacy, security, and misuse issues.

Malaysia will need laws that clearly define the responsibilities of all parties involved in the system and provide legal recourse in case of breaches.

In addition, the existing laws may need to be revised, or new laws may need to be introduced to cater to the unique challenges of the digital ID system.

For instance, the upcoming omnibus law6 will be enacted to allow data sharing among government agencies.

In the World Justice Project Rule of Law Index 20237, Malaysia ranked 55th out of 128 countries, indicating that the country still needs to improve its legal structure and justice system.

The Future of Malaysia With MyDigital ID

With the implementation of MyDigital ID, Malaysia is poised to undergo a transformative journey towards comprehensive digitalisation, promising substantial development in various sectors.

You’ll see a future where the public, private, and social sectors will be more connected, making transactions and engagements seamless and efficient.

Imagine a world where everything is at your fingertips.

MyDigital ID might lead to more transparent and efficient public services. It’ll be a future where digitalisation isn’t just a buzzword but a reality that’ll fundamentally change the way you live, work, and interact.

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At Grayscale, we believe in the power of digitalisation and its ability to transform economies and societies. We are committed to supporting Malaysia’s journey towards digitalisation, and we see MyDigital ID as a crucial step in this process.

Our solutions offer cutting-edge technology and expertise in digital identity management, ensuring the security and privacy of personal data while enabling seamless transactions and interactions.

References

1 MOSTI. (2023, December 7). MyDigital ID – Portal Rasmi Kementerian Sains, Teknologi Dan Inovasi. Kementerian Sains, Teknologi dan Inovasi. Retrieved January 24, 2024, from https://www.mosti.gov.my/en/berita/mydigital-id/

2 Borak, M. (2023, December 8). Malaysian digital ID available to public from July 2024. Biometric Update. Retrieved January 24, 2024, from https://www.biometricupdate.com/202312/malaysian-digital-id-available-to-public-from-july-2024

3 MIMOS. (2024). MyDigital ID. MIMOS Berhad. Retrieved January 24, 2024, from https://www.mimos.my/main/portfolio/mydigital-id/

4 Haqeem, K. (2023, March 21). Recurring Data Breaches in Malaysia – Plain Ignorance or Just Weak Enforcement. Cybersecurity Asean. Retrieved January 24, 2024, from https://cybersecurityasean.com/daily-news/recurring-data-breaches-malaysia-plain-ignorance-or-just-weak-enforcement

5 Yeoh, A. (2023, December 6). Cybersecurity report ranks Malaysia as eighth most breached country in Q3 2023. The Star. Retrieved January 24, 2024, from https://www.thestar.com.my/tech/tech-news/2023/12/06/cybersecurity-report-ranks-malaysia-as-eighth-most-breached-country-in-q3-2023

6 The Star. (2024, January 2). Omnibus Act will be enacted this year, says Nor Azmie. The Star. Retrieved January 24, 2024, from https://www.thestar.com.my/news/nation/2024/01/02/omnibus-act-will-be-enacted-this-year-says-nor-azmie

7 World Justice Report. (2023, October). WJP Rule of Law Index | Malaysia Insights. World Justice Project. Retrieved January 24, 2024, from https://worldjusticeproject.org/rule-of-law-index/country/2023/Malaysia/