Hong Kong’s new digital policy office, Switzerland’s pivot to open source and lessons from Indonesia's cyberattack
Edition #85 Hong Kong announced two major initiatives to shape its digital government at home and abroad this week, while elsewhere Slovenia launched its first digital bond
In our previous edition we explored the role of central digital offices in digital government, as well as spotlighting Romania's AI strategy, Pakistan's Digital Public Infrastructure, and Japan's farewell to floppy disks in our main stories.
This week, in the wake of global IT disruptions, we turn our attention to how countries are attempting to build resilience into their digital government efforts, highlighting Switzerland's major push for software transparency and the lessons to be learnt from recent ransomware attacks on Indonesia. Continuing on from last week’s theme, we also deep-dive into Hong Kong's new Digital Policy Office.
Our main stories this week include:
Switzerland’s government software goes open source
Lessons from Indonesia’s recent ransomware attack
Hong Kong launches Digital Policy Office
As a reminder, we have recently begun to expand our digital government coverage away from just Substack and onto Linkedin, Twitter and Instagram. For original content, audience engagement, and roundups of all our pieces, feel free to follow us over on those channels. Also check out our sister newsletter, interweave.africa.
Switzerland now requires all government software to be open source - Steven Vaughan-Nichols, ZD Net
Following the introduction of a major Federal Law around the use of digital in government, Swiss public sector bodies are now mandated to make all software used open source as part of a “public money, public code” approach.
The recently passed “Federal Law on the Use of Electronic Means for the Fulfillment of Government Tasks" (EMBAG) took more than a decade to be passed, after a number of roadblocks arising from earlier legal issues.
The Swiss Federal Statistical Office will lead on the law’s implementation, with exceptions to be made for software that has third-party rights restrictions or where open source software might cause security concerns.
In addition to the open-source software usage, non-personal and non-sensitive data must also be released by the government as part of an “open by default” approach.
Our Take: Open sourcing technology can be a great way for countries and companies to attract new users to a technological ecosystem and build trust. Switzerland is also in the middle of creating a digital ID system, where “trust” is to be a core bedrock of the platform.
Indonesia’s digital ambitions get a reality check with ransomware attack - Sulfikar Amir, Channel News Asia
For many airports around the world, mid-July saw flights grind to a halt as digital systems failed. In Jakarta, this was the second time in a month, after a June 20th cyberattack crippled the country’s digital services.
Back in June, a breach of the country’s national data center temporary server (PDNS) caused 280 governmental agencies to lose access to data stored on the national servers - including national identification numbers and addresses - with almost no backups for the majority of the compromised data.
The group Brain Cipher claimed responsibility for the cyberattack, using the infamous LockBit 3.0 ransomware, and demanded US$8 million from the Indonesian government to unlock the data. They ended up unexpectedly releasing the decryption key online, meaning the government avoided potentially severe consequences for the attack, but systems such as grant distribution for universities were heavily affected.
That the attack was so wide-reaching was a direct consequence of the country’s digital ambitions. Since 2019, in a quest for a One Data Indonesia policy, the National Data Center has been working to consolidate governmental data. The data became vulnerable to attack when a temporary server was built in Surabaya for Indonesia’s upcoming independence day celebration on Aug 17, highlighting the higher security stakes that come with increased government interoperability.
Our Take: In more positive Indonesian digital government news this week, Hilman Palaon of the Lowy Institute has held up the country as an exemplar for digitizing the social safety net.
Hong Kong establishes Digital Policy Office - The Standard
Hong Kong has established a Digital Policy Office to promote data-driven and people-centric digital policies.
Led by the Commissioner for Digital Policy under the Innovation, Technology and Industry Bureau, the office includes branches for Digital Government, Data Governance, and Digital Infrastructure.
These branches will develop digital policies, drive digital government initiatives, and promote the use of advanced information technology for innovative public services.
Initial priorities will include enhancing digital infrastructure and security, promoting industry development, and facilitating cross-border data flows.
GovTech News in Brief
Hong Kong, Macau use QR codes and biometrics to speed cross-border travel - Find Biometrics
Hong Kong and Macau have launched a new joint initiative that allows permanent residents to use QR codes and biometrics for border crossings as of July 19, digitalizing the current physical documentation.
Physical IDs no longer mandatory in Azerbaijan, where 65% use digital identity - Joel McConvey, Biometric Update
Azerbaijan’s government has announced that digital IDs now have the same legitimacy as their physical counterparts, and is encouraging uptake throughout the nation.
Bulgaria will sign the European declaration on quantum technologies - KosovaPress
Bulgaria has signed onto the European Declaration on quantum technologies, joining efforts to build EU capabilities in quantum research, development, and manufacturing.
The Republic of Slovenia issues its inaugural digital bond - Slovenian Government
Slovenia has issued its first digital bond through the ECB/Bank of France’s wholesale tokenized cash experiment DL3S, which aims to serve as a trial run for more native digitization of government financial instruments in the future.
Our Take: Expect this to be a growing trend for governments around the world, as financial processes are among some of the least advanced of all digital government services.
AI Strategies across the Five Eyes Nations - Jack Aldane, Global Government Forum
National AI strategies across the Five Eyes countries—UK, Canada, US, Australia, and New Zealand—include shared goals of fostering AI innovation and public trust, while integrating each country's unique national priorities, writes Jack Aldane.
Jordan launches national blockchain network to enhance government transparency - Fana News
The Ministry of Digital Economy and Entrepreneurship in Jordan has launched a national blockchain technology network - in partnership with Jordanian blockchain company Blockexe - to provide a decentralized and verifiable digital record of all digital government transactions.
Thailand marches on with $14 billion digital money handout - Steve Kaaru, CoinGeek
Thailand’s government is set to distribute ~$280 to citizens 16+ who make less than $23,000 as part of a boost to the country’s economy, with cash to be distributed through a recently launched digital wallet.
Here’s how Digital Public Infrastructure (DPI) reforms will revolutionize the stock market - Jimeet Modi, Economic Times India
India’s Finance Minister has announced that DPI will be used in agriculture for modernizing the country’s land ownership records, boosting growth for agricultural enterprises and for the financial institutions that support them.
The Theory Behind the Practice
Creating value for users and governments: How AI can enhance digital ID solutions - Yiannis Theodorou et al., Tony Blair Institute
The Tony Blair Institute argues for bringing AI into the Digital ID space to improve user experiences, including on accessibility, personalized services, fraud detection, and data-informed decision making.
Our Take: It shouldn’t be surprising to see synergies develop between two darlings of GovTech in AI and Digital ID. While there is much improvement to be had combining new technologies, it can also increase the potential for things to go awry.
China’s plan for cybersecurity ID could be a path to social control, legal experts say - Xinlu Liang, SCMP
Xinlu Liang outlines a new proposed ID system for the internet in China, designed to minimize the amount of citizens’ personal information stored online, but heavily criticized for its potential to lead to stricter government control.
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