The importance of identity as a human right cannot be underestimated, especially when considering the broader implications for economic empowerment and social stability. In countries where a robust identity system is not in place, people often possess potential assets but lack the formal recognition needed to leverage them effectively. These resources are held in defective forms, rendering them almost useless for creating capital. In these parts of the world, many lack an official address. They may have houses, but without titles, they cannot use these assets to obtain loans, secure insurance, or invest in their futures. Without clear property rights, neither capital nor credit will venture into these regions, perpetuating a cycle of poverty and instability.
The absence of clear title and the right to transfer property discourages investment and prevents the use of land as collateral, leading to what de Soto describes as "citadels of dead capital," where value remains inaccessible.
Without identity documents, people are invisible in the market; their property, businesses, and transactions remain unrecognized, hindering societal progress.
A trusted digital identity fosters investment, clear property records guarantee credit, and proper documentation allows for identification and aid. Company statutes can pool resources for recovery, mortgages can raise funds, and contracts can solidify commitments. Tragically, approximately one billion people around the world lack a legal identity, meaning they do not have official documents such as birth certificates, passports, or national IDs that are crucial for accessing essential services and participating fully in society. This issue is particularly prevalent in low-income countries, where the majority of those without legal identities reside, living without the benefit of the rule of law. Identity empowerment is the key to unlocking the potential for economic development.
This is where responsible biometric and AI solutions can help address the crucial stakes of the ID "Identity Divide," change the course of so many lives, and make a dent in society for the greater good. Only by empowering identity can we pave the way for sustainable development and peace.
