Ic ts as an enabler for private sector development remi lang, unctadPresentation Transcript
Presentation at e-Asia 2011 Dhaka, 2 December 2011 Rémi Lang ICT Analysis Section UNCTAD INFORMATION ECONOMY REPORT 2011 ICTs as an Enabler for Private Sector Development www.unctad.org/ier2011 www.e-asia.org
Private Sector Development Matters
… to create jobs, raise incomes and productivity and generate government revenue
Innovative action is needed to accelerate progress
Report argues: new ICT landscape opens new possibilities which must be better exploited
The private sector therefore is a key to sustained, inclusive and equitable economic growth and sustainable development in LDCs. “ ” Source: Programme of Action for the LDCs for the Decade 2011–2020, para. 54.
Four facets of the ICT-PSD interface Sources: UNCTAD.
Affordable ICT Infrastructure and PSD
Critical determinant of the investment climate
Private sector also leading in developing ICT infrastructure
Especially in mobile telephony
Success factors: Liberalization, effective regulation and public-private partnerships
Cheap, fast, and reliable access key to South Asian ICT success
Investment value of telecom infrastructure projects with private participation, by region, 1990-2009 (MUS$) Source: UNCTAD, World Bank, UNECA.
Enterprise use of ICTs
ICT use in enterprises higher productivity
Better access to information, knowledge and markets
Better communication along the value chain
Easier interaction with government
Mobile phone applications can be game-changing for (informal) SMEs (mobile-money, access to social networks and other internet related tools)
Between countries at different levels of development
Between companies of different size (large/medium vs small/micro)
Government has key role to play to boost ICT uptake (education, training, conducive regulatory framework).
ICT Production: a Key Part of the Private Sector
A vibrant ICT sector contributes to PSD
Creates jobs (including for the poor), spurs innovation and supports ICT use in the economy
Growing importance in many developing countries
Malaysia: ICT sector accounts for 12% of business sector value added
India: ICT sector ’ s share of GDP up from 3.4% (2001) to 5.9% (2008)
New opportunities arising in low-income countries
Mobile sector – informal and formal enterprises – >10 million jobs, most of which in airtime distribution
Outsourcing of micro-work (e.g. in Bangladesh and India)