Development implications of the Digital economies:

Transcript:Development implications of the Digital economies::
Development implications of the Digital economies: the case of Egypt 11 April 2018 By Dr Nagwa Elshenawi Prof of Economics Outline Digital Economy Definition Critical implications to digital economy Investing in smart infrastructure. Empowering society. Unleashing innovation. Delivering growth and jobs. Wave of Transformation to Digital Economy Required Digital economy policies Conclusion Digital Economy Definition The OECD defines the digital economy, known also as internet economy in academia, as the part of an economy that enables and conducts the trade of goods and services through electronic commerce on the Internet. The digital economy is perceived as a very substantial driver of economic growth and an increasing source of work for competition authorities. The impact of the digital economy extends beyond information, goods and services to other areas of the economy as well as lifestyles more generally. critical implications of digital economy Development implications of Digital Economy can be seen in the following key areas: Investing in smart infrastructure. Empowering society. Unleashing innovation. Delivering growth and jobs. A) Investing in Smart Infrastructure Investing in smart infrastructure includes is an important implication for transformation into the digital economy including 1)high broadband penetration rate, 2)more mobile data communications, 3)higher tiers of internet speeds, 4)lower prices for communications services, 5)more connected devices, 6)more across borders eCommerce activities, 7)more sophisticated security methods to online activities. B) empowering society Digital economy empowers the society in several ways starting by empowering ICT users in different ages with different educational levels engaging in different online activities e.g mobile banking especially “internet natives” who engaged into internet usage at relatively earlier ages. ICT empowers students at schools, workers in their workplaces, online buyers, readers searching for foreign content, individuals seeking a governmental service and better health seeker C) Innovation and Entrepreneurship Support One important implication for the digital economy is unleashing innovation, allowing for more research and development activities among enterprises, the uptake of ICT tools in business like websites and resource planning tools, filing for more patents, designs, and trademarks and businesses engaging in collaboration on innovation and co-inventions. D) Delivering growth and jobs Digital economy brings about more ICT investments, value added, affects labor productivity, creates new markets via eCommerce and labor supply of technical ICT fields, and most importantly it creates jobs in ICT field. Furthermore, the digital economy contributes to trade competitiveness and global value chains. Egypt’s Status? A) Investing in smart infrastructure The fourth