Nigeria’s state governments are seeking to modernize their public financial systems by adopting Digital Public Infrastructure (DPI) that can enhance transparency, efficiency, and accountability. To support this transition, the Nigeria Governors’ Forum (NGF), with MSC as the technical partner, initiated a nationwide program under the Digital Domestic Resource Mobilization (DDRM) initiative. The goal is to equip states with the tools and systems needed to improve revenue generation and expenditure management through digital transformation.
MSC conducted a diagnostic study across all 36 Nigerian states to assess the current state of their digital public infrastructure and revenue systems. We developed a comprehensive framework to measure digital maturity and used it to identify critical gaps and areas for improvement. MSC led collaborative learning workshops and webinars to engage state officials, foster peer learning, and drive adoption. Based on the diagnostic findings, we designed structured implementation roadmaps and will provide tailored technical assistance to each state depending on its digital readiness. Our support includes facilitating high-level political advocacy, enabling multi-stakeholder collaboration, and offering hands-on technical guidance throughout the DPI adoption process.
The initiative is helping Nigeria’s state governments strengthen their revenue systems and improve the efficiency of public spending. By advancing digital maturity, the program enhances financial accountability and promotes better governance. The project also expands access to more responsive and data-driven public services, laying the groundwork for long-term improvements in public financial management. Knowledge-sharing events organized by MSC will further drive adoption and build a community of practice across the country.
The Gates Foundation commissioned the project
The Indian government launched the Pradhan Mantri Gram Sadak Yojana (PMGSY) in 2000 to improve rural connectivity across India. MSC was commissioned to design smart solutions that offered better ways to improve program delivery and capacity on the ground, particularly for the project’s physical and financial management. MSC supported the National Rural Infrastructure Development Agency (NRIDA) to implement a new range of emerging IT solutions.
MSC conducted a detailed diagnostic and designed a three-component intervention to implement a smart payments framework in the scheme:
- Smart payment engine (SPE): The proposed SPE would be a module that will run if-then-else algorithms in the backend. It would use available inputs in electronic form and any other payment conditions to automate entitlement calculation and payment disbursement.
- E-measurement book (eMB): The proposed eMB would be part of the modular architecture to enable data entry at source by contractor and rules-based processing. The eMB would aid in the inspection of compliances by the Program Implementation Unit’s engineering staff and align with the needs of the online management, monitoring, and accounting system (OMMAS). It could take data inputs directly in real time from the field.
- Single project registry (SPR): The proposed SPR would be a reference data repository based on the Single Source of Truth principle. It would have a data push and pull facility to enable access to real-time information to and from other applications.
The project would create transparency across the system to bring accountability to the program’s last-mile expenditure management. It would enable key decision-makers to better observe project site data, trace fund flow, and monitor the program in real time.
The National Rural Infrastructure Development Agency (NRIDA) commissioned the project.
The Government of Odisha introduced the Mukhyamantri Karma Tatpara Abhiyan (MUKTA) program as a response to the COVID-19 pandemic to provide urban wage employment through small-scale infrastructure projects. While the program addressed immediate livelihood needs, it encountered operational issues such as prolonged wage payment delays and weak project management systems, which affected timely execution and beneficiary satisfaction.
MSC worked with the government to design and implement a smart payment and project management solution called “MUKTASoft.” The solution was piloted across 23 urban local bodies to test its effectiveness. MUKTASoft digitized administrative processes, streamlined project workflows, and introduced automation in fund release and contract tracking. MSC ensured the system was aligned with government operations while providing real-time insights into fund utilization, project progress, and payment status.
The introduction of MUKTASoft reduced wage payment delays from 120 days to under 30 days, with a long-term target of achieving disbursal within seven days. The solution also eliminated idle float by enabling Just-in-Time fund transfers and improved financial control across urban local bodies. Enhanced visibility and digital records strengthened contract management and accountability. The success of the pilot highlighted how digital tools can improve efficiency, transparency, and impact in public financial management.
The Gates Foundation commissioned the project.
The Government of India procures food grains through both centralized and decentralized models to ensure price support for farmers and maintain food security. Payments for these procurements are made to the Food Corporation of India (FCI), as the nodal agency for central procurement and state agencies. However, the current system of account submission for food grain procurement, reconciliation, and settlement is complex and inefficient, often leading to payment delays. These delays hinder fund flow predictability and affect operational efficiency across procurement agencies.
MSC was engaged by the Department of Food and Public Distribution to assess the existing settlement and reconciliation processes and identify structural and procedural bottlenecks. We proposed a re-engineered, rule-based, and real-time system to streamline claims settlement and enable Just-in-Time (JIT) fund releases for food subsidy payments. We redesigned the process with clear turnaround times, responsibilities, and escalation protocols, consolidated into a standard operating procedure (SOP). We supported in digitizing the system by integrating newly designed modules into SCAN 2.0 using a functional requirement specification (FRS) and introduced a revised method for determining Procurement Incidentals (PIs), specifically, transportation, handling, and mandi labor charges, through time and motion studies and empirical data analysis.
The proposed reforms are expected to significantly reduce delays in claims settlement, increase transparency in procurement-related payments, and improve fiscal management.
The Gates Foundation commissioned the project.
The Government of Odisha has one of India’s most developed treasury systems. However, challenges such as manual bill processing, idle fund accumulation, and poor fund utilization continued to affect the efficiency of public expenditure. These inefficiencies result in delayed payments and higher borrowing costs.
MSC partnered with the Odisha Finance Department to address these issues through the design and implementation of a Just-in-Time funding mechanism. The solution was built around the virtual treasury single account (VTSA) model, which enabled real-time, need-based fund transfers directly from the state treasury to beneficiaries’ bank accounts. This removed the need for advance fund allocations to implementing agencies, minimized float funds, and introduced a seamless, digital workflow. By automating the process, MSC helped eliminate manual interventions and established an efficient system of fund disbursement.
The VTSA-based Just-in-Time funding solution significantly improved the utilization and transparency of government funds. Departments gained greater visibility over their fund positions, which enabled better planning and budgeting. The initiative also reduced idle fund parking and helped the government optimize its borrowing by freeing up locked resources. Overall, the intervention has led to faster and more efficient delivery of payments and improved fiscal discipline across departments.
The Gates Foundation commissioned the project.
The Department of Food and Public Distribution (DFPD) under the Ministry of Consumer Affairs, Food, and Public Distribution has been working to strengthen the Public Distribution System (PDS) through digital reforms, efficiency improvements, and nutrition-focused initiatives. Since 2014, MSC has provided technical assistance to support these goals. The support included modernizing the PDS architecture, piloting direct benefit transfers, and aligning food distribution with broader nutritional security objectives.
MSC supported end-to-end computerization pilots in Andhra Pradesh, Bihar, and Jharkhand by digitizing the beneficiary database and supply chain, and automating fair price shops (FPSs). These efforts helped the government identify and remove 50 million fake or duplicate ration cards. We also supported pilots for transitioning PDS benefits from in-kind to cash in Chandigarh, Puducherry, Dadra and Nagar Haveli, Jharkhand, and Karnataka. It intends to improve efficiency and enable better dietary outcomes. MSC contributed to the design and evaluation of the One Nation One Ration Card (ONORC) scheme to ensure portability of food grain entitlements, especially for migrant workers. During the pandemic, we supported the design, implementation, and monitoring of the PMGKAY relief program. In 2020, MSC helped establish a Technical Support Unit (TSU) at DFPD to shift focus toward nutritional security and food system transformation.
MSC’s support has contributed to system-wide improvements that saved the government approximately USD 22 billion by March 2023 through the identification and removal of 50 million fake or duplicate beneficiaries. The interventions also laid the groundwork for a shift from food security to nutrition security. Current work supports rice fortification, FPS transformation for financial viability, millet integration into PDS, and the repositioning of FPSs as local nutrition hubs.
The Gates Foundation commissioned the project.