Digital Public Infrastructure Reform Advances

The second quarter Operation Vulindlela report tracks progress on digital payments, digital ID and government data-sharing reforms.

Updated on Nov. 2, 2026 in Cybersecurity

Vector editorial illustration of identical sealed metal modules with keyhole apertures joined by a single cable on a concrete plinth, one module offset, in teal, cream, and coral. — South Africa's National Treasury reported second-quarter progress on Operation Vulindlela, including PEMKey payment-authorisation registration opening on 1 September and a digital ID prototype launched on 1 October. AI Illustration. Upload story photo >

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National Treasury has released the second quarter progress report for Operation Vulindlela, a joint initiative of the Presidency and National Treasury. The report covers implementation since July, including the opening of PEMKey registration on 1 September and the public launch of a first working digital ID prototype on 1 October.

Why it matters

The reform aims to harness digital tools to improve government efficiency, enable inclusion and support economic transformation across South Africa. Progress on digital payment authorisation and digital identity affects how citizens and businesses will transact with the state.

The smart ID programme has reported 726 803 applications and 588 111 cards collected, and the PEMKey secure payment authorisation credential opened for registration on 1 September. Technical testing results for PEMKey and the gov.za shared platform have not been published in the report.

The players

National Treasury

The South African government department responsible for national fiscal policy, which released the second quarter Operation Vulindlela progress report.

Operation Vulindlela

A joint initiative of the Presidency and National Treasury that drives South Africa's digital public infrastructure and structural economic reforms.

The details

The digital payments programme launched registration for the PEMKey payment-authorisation credential and prepared a controlled testing environment across payment providers, linked to digital identity. MyMzansi has moved from development into a functional prototype, and the gov.za shared website platform became operational for testing by participating departments.

July 2026: Operation Vulindlela implementation period covered by the report begins.
1 September 2026: PEMKey opens for registration.
1 October 2026: First working digital ID prototype is publicly launched.
End-November 2026: Digital wallet programme is targeted for completion.
December 2026: MzansiXchange data-sharing pilot is expected to complete.

Roadmap

Operation Vulindlela, a joint Presidency and National Treasury initiative, sets the framework for South Africa's digital public infrastructure reforms. This quarterly report shows the programme moving from development into controlled testing across digital ID, payments and data sharing.

South Africans will eventually be able to approve payments through the PEMKey credential and use a digital ID, though the report does not give a rollout date for the public. Residents who still rely on the green ID book should plan for its production to end by 31 March 2027.

The takeaway

Digital identity and secure payment credentials are being built as shared government infrastructure rather than separate projects. Readers should watch the March 2027 deadlines for PEMKey testing and the end of green ID book production.

What happens next

The PEMKey sandbox is planned to test secure payment authorisation across participating systems by March 2027, and the Department of Home Affairs will cease production of the green ID book by 31 March 2027.