The continuing digital divide between developed and developing economies

The continuing digital divide between developed and developing economies

XII World report for 2013 issued by the world economic forum that most developing economies failed to provide the necessary conditions for the competitive gap in communication and information technology with advanced economies, despite the efforts made over the past decade.

The report, entitled "growth and jobs in the world of convenience, that politicians in some developing economies are unable to convert investment in communication and information technology to significantly improve the competitiveness, development and employment. It is added to the digital divide between developed and developing economies access to digital infrastructure and content.

ICTs and poverty

The report, which focused on the impact of digitization on the creation of employment opportunities, a study of Booz & company specializes in management consulting.

The study information and communication technology capacity to lift millions of people out of poverty. And relied on using digitization of zero to 100, and reached the 10% increase in the rate of digitization in the country increased by 0.75% in per capita GDP, down 1.02 percent in the unemployment rate.

Continued study of Booz that if emerging markets doubled the rate of digitization for the poorest citizens over the next 10 years, you will get an increase of 4.4 trillion dollars in nominal GDP, as in 930 billion dollars will generate income for the poorest families are cumulative, you will be able to provide 46 million new jobs to economically and socially marginalized groups, which means 580 million people crossing the poverty line.

According to Bahgat Dervish partner in Booz & company, the digitization of six million jobs, said 193 billion dollars to the world economy in 2011. Although this seems a positive on the whole, the impact of digitization is not uniform in all sectors and economies; at the same time creating jobs and destroy each other.

With the expansion of digitization and its role as a driver of growth and a source of competitiveness focused decision makers to improve access and affordability of ICT and, more recently, the focus has been on facilitating investment in broadband deployment. This despite its importance is only one side of the story.

Darwish believes politicians need in future to be makers and creators of digital economy which offers citizens, companies and economic sectors amid the global market competitive advantage widening. Requires digital policymakers draw proactive plans, building potential, initiative and control sector digitization, and decision-makers for coordination with consumers and manufacturers and Government agencies.

Network readiness index

According to the "network readiness index", which measures 144 readiness to activate the communication and information technology to achieve competitiveness and well-being, most European countries occupied the top 10 centres; Finland came out on top, followed by, respectively: Singapore, Sweden, the Netherlands, Norway, Switzerland, United Kingdom, Denmark, and the United States, and Taiwan came in 10th place.

For the economies of the Brix, which includes pool Brazil, Russia, India, China and South Africa, has arranged especially China which ranked fifty-eighth decline in seven centers. The report suggested that it might be the rapid economic growth in these countries over the past years is in danger unless the right investments in information and communication technologies, skills and innovation.

Regarding the first Arabic States, Qatar, finished third, and then in twenty-fifth place, Egypt in the Center, and other countries such as Algeria and Libya and Yemen in 20 States.

And adopted a "network readiness index" to measure four factors included: information and communication technology infrastructure, the cost of access and the availability of the necessary skills to ensure optimal use. And the acceptance and use of information technology and the connections between Governments, business and individuals. And business environment, innovation, and policy and regulatory frameworks. Beside economic and social consequences of information and communication technology.

And adopted its data available to the public, as well as the results of a survey of fifteen thousand executives conducted by the World Economic Forum in cooperation with partner institutions from research institutes and business organizations.

Experiences in Africa and Latin America

The global information technology report the experience of Rwanda, who wishes to overcome the lack of natural resources and the lack of any coast, seeking to transform the agricultural economy to knowledge-based by 2020 using information and communication technologies, investment in education and partnership with foreign universities and fiber optic cabling.

Rwanda began with services such as "E-Soko" is a service for cell phones to allow farmers access to their products, and prices have already contributed to improving the lives of many. With the help of technology hopes to take advantage of its central location in Africa to be a Center for banking and financial business outsourcing services.

Also referred to the experience of the three countries in Latin America, Colombia, Uruguay and Panama, have contributed to small and medium-sized technology companies in Uruguay in lifting technology exports from 50 to 225 million dollars in the first decade of the twenty-first century.