Open Transaction Networks (OTNs) offer a new kind of market infrastructure for low- and middle-income countries by enabling many providers to interoperate on shared, open rules rather than be controlled by a single dominant platform. Built on Digital Public Infrastructure such as unique digital IDs, OTNs reduce verification and contracting costs and create more open, contestable markets that expand participation for small businesses and consumers. Although pilots such as ONDC and Namma Yatri in India show encouraging early signs, including lower fares and better margins, there is still little independent evidence to understand their true impact, durability, and risks.
With support from the Gates Foundation, GDN’s programme aims to build the economic foundations needed to evaluate OTNs across sectors including health, agriculture, mobility, commerce, and energy. Through a combination of theoretical work, six empirical research studies in LMICs, and targeted dissemination, the programme will generate rigorous insights for governments, regulators, and DPI ecosystem actors. This evidence base will guide decisions on whether, when, and how to adopt OTNs, what guardrails are needed, and how best to design and scale interoperable market systems that genuinely improve lives and livelihoods.