The point is that the more identifiable information that the monopoly on violence has the easier it is for something, anything really, to be used against you should your tribal affiliation conflict with the ruling party.
At least where I live, there's no extra information being gathered. The only difference is that I no longer have to physically go somewhere to deal with that information, because I can sign in to government services online.
Information that was previously in paper form and scattered across various bureaus is now being digitised and centralised, but that's orthogonal to "digital ID"!
I don't see how that's the case for digital ID by itself. I'm also pretty sure that we can analyse the impact of a single technology without also blaming it for the downsides of other, distinct policies.
"Hey now guys we just voted this law, now you need to use your BankID to login to your phone the first time. Because, think of the children! And well, if you have pictures we deem forbidden, you'll be reported."
Once the infrastructure for mass surveillance is available, States are tempted to use it.
Also even if it may be ok in Sweden for cultural reasons, the rest of the world unfortunately isn't (but can enjoy private washing machines in exchange).