I find myself chuckling a little at this, because this is a common excuse for things being slow moving (or just wildly inconsistent from place to place) in the US. It's somehow comforting to know that countries of all size and population that are organized like this will still have the same problems.
To be fair, though, the US and many decent-sized municipalities do actually have a pretty good digitization story. I'm actually having trouble thinking of routine government-related things that have to be done in person... or even by mail. I guess you have to send mail to apply for or renew your passport (though the State Department already has an online form that fills out a printable application for you). And you have to go in person to get a marriage license (but I think that's a feature, not a bug; and hopefully that's not a routine activity, anyway). I had to do an interview to get my Global Entry (eliminates most of the wait at immigration when re-entering the US) thing approved, but the application process was all online, and my recent renewal was completed from my couch.
Otherwise...? I've set foot in a DMV perhaps 3 times since I moved to California 19 years ago (once when I first moved, to take the written driving test; once when I lost my driver's license and had to prove who I was to get a new one; and once when I had to apply for the ridiculous new "REAL ID"). I file my income taxes online, and whatever money I'm due or owed gets electronically transferred. I pay my property taxes online. I activated the electric and gas utility service (not quite government, but adjacent) online when I last moved. Mail forwarding when your address changes is done at the Postal Service's website. I even signed all the paperwork to buy a new home online (if you have a mortgage lender, they'll want some things signed in person, but they can someone to your house for that, and at any rate the government-related paperwork is all handled by a title company for you, at least where I live). You can even pay parking ticket and driving infraction fines online, if you don't want to contest them.
The online systems to take care of this stuff do all vary in clunkiness to some degree, but some of them are quite modern-looking and have decent or even good UX. The federal government even has 'login.gov' now, which they're slowly (very slowly) getting various agencies to adopt so you have a single sign-in. I don't think states and municipalities are allowed to use it, though.