Digital identity towards shared principles for public sectors enterprises

Abstract

This study investigates the effectiveness of digital identity implementation (EDII) in Nepalese public sector enterprises by examining the influence of six key factors: policy and regulatory readiness (PRR), technological infrastructure (TI), institutional capacity and leadership (ICL), user trust and privacy perception (UTPP), inclusiveness and accessibility (IA), and stakeholder collaboration (SC). The primary objectives were to assess the current implementation status of these variables, explore their interrelationships, and analyze their impact on public trust in digital identity systems. Employing a descriptive and causal research design, data were collected from 384 respondents in Kathmandu Valley through a structured online questionnaire. The study used statistical techniques, including mean analysis, correlation, and multiple regression, to examine the relationships among the independent variables (PRR, TI, ICL, UTPP, IA, SC) and their collective effect on the dependent variable (EDII). Findings indicate that while digital identity principles are moderately implemented across Nepal’s public sector, technological infrastructure (TI), institutional capacity and leadership (ICL), inclusiveness and accessibility (IA), and stakeholder collaboration (SC) exhibit higher levels of readiness and impact compared to policy and regulatory readiness (PRR). Correlation results demonstrate significant positive relationships among most variables, emphasizing their interconnected role in supporting effective digital identity implementation. Regression analysis confirms that TI, ICL, UTPP, IA, and SC significantly enhance EDII, thereby fostering public trust in digital identity systems. However, policy and regulatory readiness (PRR) showed a less pronounced effect in this context. Overall, the study highlights the critical need for a comprehensive approach that integrates technological capabilities, institutional leadership, inclusive access, and collaborative governance to build trusted and effective digital identity frameworks. These insights provide valuable guidance for policymakers, managers, and stakeholders striving to improve digital identity adoption and strengthen public trust within Nepal’s public sector. Keywords: Digital identity implementation, policy and regulatory readiness, technological infrastructure, institutional capacity, user trust, inclusiveness, stakeholder collaboration, public trust