A major government project aimed at delivering smart national identity (NID) cards to citizens has failed to meet its targets even after more than a decade, with authorities now preparing to extend both its timeframe and budget once again.
The “Identification System for Enhancing Access to Services (IDEA)” project, launched by Election Commission (EC) in 2011, was intended to modernise the national ID system and provide citizens with secure, technology-enabled smart card. Fifteen years on, however, officials are still unable to say when all eligible citizens will receive the card.
Instead, the project has been marked by repeated delays, rising costs and shifting targets. A fresh move is under way to extend it by a further two years, raising renewed concerns over efficiency and accountability.
At the same time, questions are being raised about whether the project offers value for money. Despite billions of taka in expenditure, the smart card currently provide little more functionality than the older laminated versions, as the infrastructure required to use their advanced features remains largely absent.
Slow progress from the outset
According to EC officials and those involved in the project, progress has been slow since the beginning. Although an agreement was signed with the World Bank in 2011, implementation was delayed by nearly two years due to procedural conditions.
In January 2015, EC signed a contract worth Tk 8.16bn with the French firm Oberthur Technologies to produce and distribute smart cards. The project was originally due to end in June 2016, but the deadline was later extended to December 2017.
The contract was eventually cancelled in 2017, with EC citing slow progress and concerns over performance. The World Bank subsequently withdrew its funding, Subsequently, the implementation of the project began through the state-owned enterprise Bangladesh Machine Tools Factory (BMTF), with government funding. By 2020, around 60 million voters had received smart NID card, but the overall project timeline had already been extended six times.
Phase two falls behind target
Rather than extending the original project deadline, EC launched a second phase in December 2020, with a five-year timeline aimed at issuing smart card to 30 million citizens by 30 November 2025.
That deadline has since been pushed back to 30 November 2026 after the target was missed. Officials are now considering extending the timeframe by another two years, as work remains incomplete.
Procurement has also been affected. BMTF informed EC that it could not supply the full 30 million cards at the previously agreed price, citing increases in the value of the US dollar. Following negotiations, a revised agreement was reached to supply 23.634 million cards, each Tk172, at a total cost of Tk4.06bn (Tk406 crore). This leaves a shortfall of approximately 6.4 million cards under the original plan.
Five years into the second phase, only about 1.7 million smart cards have been distributed through local election offices.
In October 2025, Election Commissioner Abu Fazal Md Sanaullah and project director Brigadier General Mohammad Azizur Rahman Siddiqui travelled to France to inspect blank cards. However, more than seven months later, around 21.9 million cards have yet to arrive in Bangladesh.
With only a limited period remaining under the current deadline, there are growing doubts about whether the remaining cards can be delivered and distributed on time.
Despite these concerns, the project director has expressed optimism, saying the agreement with BMTF would not have been signed if timely delivery were not feasible.
Limited functionality despite high cost
Although the smart cards are equipped with a 64-kilobyte chip and 24 security features, their practical use remains limited.
Government and private institutions have yet to develop the infrastructure needed to read and utilise the chip, meaning citizens receive little additional benefit compared with traditional laminated cards.
Analysts and officials say several public services—such as family support and agricultural assistance cards—could have been integrated into a single smart NID system, improving efficiency and reducing duplication.
EC says initiatives are under way to expand the card’s functionality, and a committee has been formed to explore potential uses. A report is expected in early May.
Financial concerns and audit objections
Questions have also been raised about financial practices within the project.
Although EC provides the machinery, workforce and blank cards, BMTF has been charging for card personalisation—the process of embedding citizens’ data onto the cards. Sources say, approximately Tk740m has been paid for personalising 12.1 million cards at a rate of Tk32 per card, despite the absence of a formal agreement.
In addition, BMTF claimed Tk230m for machine repairs. Two EC probe committees reportedly found little evidence of such repairs taking place. While a second inquiry identified minor replacement parts in one machine, only two of the ten machines currently in use are operational, with the rest lying idle.
The project director claimed everything was being done according to the agreement and that the maintenance money was deducted from BMTF’s another payment.
Overseas voter drive shows limited results
Efforts to register Bangladeshi voters abroad have also fallen short of expectations. The second phase of the IDEA project included plans to expand voter registration to 40 countries by 2025, with a budget of Tk 200m.
So far, activities have been launched in only 15 to 16 countries, with around Tk 100m already spent—much of it on overseas travel.
Despite this, the total number of registered overseas voters stands at only about 40,000.
Officials from EC and the project have made multiple visits to countries including the United Kingdom, Canada, the United States, Japan, Australia, Malaysia and several Middle Eastern nations. In some cases, large delegations of 15 to 20 members travelled, despite suggestions that smaller technical teams could have handled much of the work.
Costs expected to rise further
Further increases in expenditure are likely. Officials say a proposal may be made to allocate more than Tk 2bn for a disaster recovery system (DRS) to ensure the security of the NID database.
They warn that ongoing maintenance of such systems will require continued funding even after the project formally ends.
Extending the project deadline would also increase operational costs. More than 2,200 outsourced staff are currently employed under the project, with monthly salary expenses of about Tk 60m. A one-year extension would require an additional Tk 720m for salaries alone, with further increases expected in other areas.
Authorities defend project, promise improvements
Project director Mohammad Azizur Rahman Siddiqui acknowledged that the full potential of the smart card has yet to be realised. For now, he said, its primary advantage over laminated cards lies in enhanced security, noting that duplication is extremely difficult.
He added that a team of experts, including academics from the Bangladesh University of Engineering and Technology (BUET), has been tasked with identifying expanded uses for the card. A report is expected by 9 May.
According to him, the smart NID could eventually be used in public transport systems such as metro rail, as well as for financial transactions and even digital tracking in fuel management. However, he stressed that such applications would require coordinated efforts across multiple institutions.
He confirmed that steps are being taken to extend the project timeframe by two years and to increase funding in certain areas.
However, he said no additional allocation would be made specifically for NID issuance under the project, which would instead be funded from revenue budgets in future.
EC has so far received around 1.7 million cards from BMTF, he added, expressing hope that the remaining cards would be delivered by 30 November.
