By Siti Noor Afera Abu, Nurunnasihah Ahmad Rashid and Puti Iylia Maisarah
KUALA LUMPUR, Oct 30: Once a simple proof of identity, Malaysia’s national identification card has become the backbone of the nation’s digital transformation, linking citizens to government services, daily conveniences and new opportunities in a connected economy.
From a paper “rice card” issued in 1948 for security and rationing during the Malayan Emergency, to the blue plastic card in 1960 and colour-photo version in 1999, the card has evolved into MyKad, which integrates multiple applications through an embedded computer chip.
This evolution reflects Malaysia’s commitment to building a secure and citizen-centred digital economy under the MADANI Economy framework, which outlines strategies to ensure inclusivity, stimulate growth through initiatives such as Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA), and enhance efficiency in subsidy and governance reforms.
Supporting this goal, the rollout of the MyDigital ID initiative enhances the delivery of government assistance through secure digital verification, ensuring that social aid and subsidies reach the eligible recipients while reducing leakages and strengthening public confidence in the government’s move towards a more inclusive and data-driven economy.
Driving Digital Vision, Building Trust
Malaysia’s digital landscape is growing more complex, demanding an identity system that is secure, trusted and resilient. To meet this need, the National Tech Association of Malaysia (PIKOM) asserts that a robust digital ID must be built on verified citizen data, multi-factor authentication and a privacy-centric design. This concept is now taking shape as MyKad integrates with the upcoming MyDigitalID.
PIKOM chairman Alex Liew said many governments worldwide are adopting layered frameworks that combine civil registry data, biometrics and cryptographic verification to prevent identity theft and enable seamless and secure access to essential services, and Malaysia is heading in the same direction.
“This initiative will incorporate biometric verification and encrypted credentials, enabling safe, consent-based access to government and financial services,” he said.
More importantly, he said Malaysia is not starting from scratch as the government’s decision to leverage MyKad’s existing infrastructure for subsidy eligibility has already proven cost-effective and inclusive.
Finance Minister II Datuk Seri Amir Hamzah Azizan reportedly said that MyKad has been used to distribute aid, including STR, to nine million recipients, proving the existence of a trusted system.
Building on that foundation, the same platform now verifies the eligibility for 16 million Malaysian drivers to purchase subsidised RON95 petrol at RM1.99 per litre, reinforcing MyKad’s role as the nation’s most reliable tool for targeted aid and digital verification.
Precision Targeting and Fiscal Reform
Senior economic advisor for KSI Strategic Institute for Asia Pacific and Small and Medium Enterprise National Council member Dr Anthony Dass said using MyKad for targeted subsidies, such as BUDI MADANI RON95, marks a shift toward smarter, data-driven fiscal reform.
“Duplication and fraud can be eliminated by linking verified citizen data, including income, household and vehicle ownership, directly to aid distribution,” he said, emphasising that aid is delivered directly to the intended recipients.
However, Dass cautioned that the government must also address data security and the digital divide. He recommended a Public Data Protection Act, an Independent Digital Ombudsman, and maintaining offline access via post offices or mobile counters to ensure inclusivity for rural and elderly populations.
While Dass envisioned MyKad becoming a “public service passport” that integrates access to cash aid, tax credits, and healthcare, he cautioned that mismanagement risked transforming it into a tool of exclusion. Such a failure, he warned, would erect a digital divide, separating digitally connected citizens from those left behind.
NRD’s Commitment to Secure Digital Identity
Meanwhile, National Registration Department (NRD) director-general Badrul Hisham Alias said the department is working closely with the Inland Revenue Board and Employees Provident Fund to strengthen financial services tied to MyKad’s digital identity capabilities.
“MyKad now supports the government digitalisation agenda, serving as a verification tool for services like STR, e-Kasih, and e-government systems, including MyDigital ID, MySejahtera, e-Tanah and MyGovUC,” he said.
He noted that the chip in each MyKad is protected by a Security Access Module and encryption keys issued exclusively by the NRD.
“No data can be added, altered, or deleted from the chip,” Badrul Hisham stressed, adding that the use of artificial intelligence (AI) to enhance identity verification and fraud prevention is also under consideration.
Though MyKad is currently only recognised in its physical form under the National Registration Act 1959, the government is exploring digital identity verification frameworks within existing legal boundaries.
“MyKad is the personal responsibility of every citizen. It must not be used by anyone else, not even family members,” he said.
A Daily Essential for Malaysians
For 53-year-old single mother Maznah Mahani Hamid, MyKad means more than just an ID but has become a key to government assistance.
“Now, even buying petrol is so much easier. I just tap MyKad for the RON95 subsidy. No more forms, no more hassle…all sorted out with MyKad,” she said.
Private sector employee Nur Nadhirah Ali Imran, 27, echoed the sentiment.
“I use MyKad daily with Touch ‘n Go features, from tolls to riding public transport with the My50 pass. One card handles it all,” she said.
Looking Ahead
Launched in 2001 as one of the seven flagship applications of the Multimedia Super Corridor, MyKad was envisioned not just as a modern identity card, but as a secure, unified digital platform for all Malaysians.
It has evolved through four generations, with the latest released in 2012. Now, the NRD is finalising a new version with enhanced security, paving the way for the next chapter in Malaysia’s digital transformation.
As the nation moves forward, MyKad stands as a bridge from our past to our future, a tangible promise that when technology is designed to serve its people, it can do more than create convenience; it can forge a stronger, more connected nation.
— BERNAMA