In Sweden where I live you need to use the digital national ID whenever you make a credit card transaction via some app, for example when buying a bus ticket, so you need to have it with you at all times. But with the ID you can also take a quick loan and transfer all the money to a foreign bank basically ruining your life as the bank take no responsibility if the ID is used during the transaction.
Yes, you really shouldn't ever use a pin code for BankID (or your screen lock) in public. Only biometrics if anyone is watching.
Needing a government app to approve credit card transactions sounds very dystopian. Or did I misread that?
Does the app not require authentication? At least MitID in Denmark requires a 6-digit PIN at the very minimum, or biometrics optionally.