TLDR: A recent report by Okta reveals a significant surge in digital identity adoption across India, fueled by increasing consumer trust in digital platforms and a notable openness towards AI-driven services. While passwords remain prevalent, biometrics are gaining traction, and despite high trust levels, concerns about identity fraud persist.
New Delhi, India’s digital landscape is experiencing an unprecedented transformation, with a new report highlighting a substantial increase in digital identity adoption among Indian consumers. The ‘2025 Customer Identity Trends Report’ by Okta, based on a global survey of 6,750 consumers including 750 from India, indicates that this surge is primarily driven by a growing trust in digital platforms and a unique readiness to embrace AI technologies.
The report reveals that over 30 percent of Indian users log into ten or more personal online accounts every month, underscoring the nation’s rapidly expanding digital footprint. While traditional passwords remain the most convenient option for 82 percent of Indians, newer authentication methods are steadily gaining ground. Biometric authentication is increasingly popular, with 55 percent utilizing fingerprint recognition and 35 percent opting for Face ID for smoother logins. Furthermore, 54 percent find government IDs like Aadhaar convenient for verification, followed by SMS/voice calls at 44 percent.
Despite the convenience of passwords, security perceptions are high for fingerprints (79 percent) and SMS authentication (74 percent), closely trailing passwords. However, the report also points to persistent risky practices, noting that one in five Indians reuse the same password across all their personal accounts.
A remarkable aspect of India’s digital evolution is the high level of trust consumers place in businesses to protect their data. A significant 67 percent of Indian respondents expressed confidence in companies’ data protection measures, considerably higher than the global average of 50 percent. This trust extends across key sectors: 79 percent trust banks, 73 percent trust tech companies, 70 percent trust government agencies, and 69 percent trust online retailers. Yet, this confidence is balanced by a heightened awareness of digital risks, as 81 percent of Indians express concern about identity fraud, a figure significantly above the global average of 63 percent.
India’s embrace of Artificial Intelligence in identity management is particularly noteworthy. Indian consumers show a greater willingness to engage with enterprise AI agents compared to their global peers. While 65 percent appreciate the speed and 24/7 support offered by AI, a substantial 76 percent still prefer human interaction for certain tasks. Interestingly, 64 percent of Indians are willing to share health data with AI agents (compared to 32 percent globally), and 49 percent are comfortable sharing financial data (compared to 27 percent globally).
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Ben Goodman, Senior Vice President & General Manager, Asia Pacific & Japan at Okta, emphasized the evolving landscape, stating, ‘In Asia Pacific, trust has become the true currency of digital engagement. From logins to AI agents, consumers are drawing a clear line: they want experiences that are seamless, secure, and respectful of their data.’ Shakeel Khan, Regional Vice President and Country Manager, Okta India, added, ‘AI is no longer a future concept — it is embedded in the way we live, work, and connect.’ This dual perspective highlights the ongoing balance between leveraging advanced technologies for convenience and ensuring robust security and privacy in India’s rapidly digitizing society.
