GovTech (short for government technology) is the design and application of technological products and services in public institutions to improve public service delivery. As such, GovTech has enormous potential to create a more responsive, inclusive, transparent and better-performing public sector that better meets citizens’ needs. The evolution of GovTech: from isolated projects to digital public infrastructure The use of technology in the public sector is not a recent phenomenon. Efforts to improve efficiency by applying the technological capabilities of the time have been under way since the 1970s and 1980s, typically focused on isolated functions. These early moves were fragmented and limited to individual projects. The arrival of the internet in the 1990s expanded the toolkit, allowing governments to offer basic information on static websites. By the early 2000s, the focus shifted to more complex, interactive systems, enabling citizens to access services such as filing taxes or school admission online. The commercialization of key technologies, along with the scalability of cloud infrastructure, has greatly amplified the impact of what is now referred to as GovTech, far exceeding the potential seen in previous decades. New technologies like artificial intelligence (AI), virtual reality or the internet of things (IoT) can now be embedded within government workflows. For instance, AI-powered analytics can optimize resource allocation in healthcare, ensuring medical supplies and personnel are sent to areas of critical need. Geographic information systems (GIS) enhance urban planning by using real-time, location-specific data to improve zoning and infrastructure. Looking ahead, quantum computing could transform government operations even further, offering rapid data analysis to solve complex problems in areas such as healthcare, climate change and national security.1 These new technological opportunities are increasingly embraced by governments worldwide. Estonia, for instance, has digitized 99% of its public services, enabling citizens to access everything from voting to healthcare online through the e-Estonia programme. In the United Kingdom, digital transformation efforts are expected to save over $1.3 billion by 2025 as departments invest in cutting- edge technology, such as the National Digital Twin Programme to support climate change modelling and in blockchain technology to enhance supply chain efficiency.2 Meanwhile, in Germany, immersive technologies are beginning to be used to improve law enforcement. Police in Lower Saxony and Aalen use virtual environments to enhance training simulations and crime scene analysis, improving both efficiency and community engagement. This transition heralds a new era for GovTech, where value creation extends beyond merely digitizing processes or automating tasks. The focus now lies on building digital public infrastructure (DPI) and digital public goods (DPGs), creating safe and inclusive participation in markets and society. When GovTech solutions can build on foundational digital capabilities, such as digital identity systems and payment platforms, they enable individuals and organizations to create new cross-sectoral services that drive new value creation across the economy. India’s Aadhaar system is one such illustration of this transformative potential. Next-generation GovTech solutions can be geared towards developing DPGs, sometimes including open-source tools and standards designed to promote sustainable development. GovTech ushers in a new era of public sector innovation, ready to address the complex, interrelated challenges of the 21st century and set a path towards more effective, equitable and sustainable governance for all. 6 The Global Public Impact of GovTech: A $9.8 Trillion Opportunity

The Global Public Impact of GovTech 2025