Aadhaar is the world's largest biometric ID system. World Bank Chief Economist Paul Romer described Aadhaar as "the most sophisticated ID programme in the world".[9] Considered a proof of residence and not a proof of citizenship, Aadhaar does not itself grant any rights to domicile in India.[10] In June 2017, the Home Ministry clarified that Aadhaar is not a valid identification document for Indians travelling to Nepal and Bhutan.[11]
Prior to the enactment of the Act, the UIDAI had functioned, since 28 January 2009, as an attached office of the Planning Commission (now NITI Aayog). On 3 March 2016, a money bill was introduced in the Parliament to give legislative backing to Aadhaar.[12] On 11 March 2016, the Aadhaar (Targeted Delivery of Financial and other Subsidies, benefits and services) Act, 2016, was
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