For the past seven years the World Economic Forum and INSEAD have been computing the Networked Readiness Index, a holistic measure of the capability of an economy to benefit from advances in ICT. Irene Mia explores the latest index findings.
Emerging economies are shining. They are rising in economic power. They are progressing at rates not seen in recent times. And their success is due in no small part to a smart leverage of information and communications technologies (ICT) for development and competitiveness.
For the last seven years, the World Economic Forum and INSEAD have been computing the Networked Readiness Index, a holistic measure of the capability of an economy to benefit from advances in ICT. The accumulated longitudinal data provides valuable insights into the evolution of the networked readiness of economies around the world. In this context, a number of countries stand out for their success in using ICT as a tool of enhanced growth.
In particular, three BRIC countries – China, India and Russia- have realized notable progress in their networked readiness over the last years. The progresses made by India and China in particular are very impressive and this is line with the advances that we have seen both countries make especially in the domain of ICT services and goods respectively. India now occupies a prime position in global ICT services with exports totaling around $50bn and the emergence of global players in the sector such as Infosys and Wipro. China has also emerged rapidly as the biggest exporter of ICT goods in the world eclipsing the USA and Europe – driven by its growing domestic market and its success in global manufacturing.
Several newer members of the European Union, such as Estonia and Lithuania have made important strides in recent times. After regaining independence as recently as 1991, the Internet has been instrumental in helping Estonia through the transition from centralized state planning to the model of modern governance it is today. In 1997, the Tiger Leap program was launched to reshape the Estonian educational system with the Internet. In 2000, the Estonian Parliament approved a proposal to guarantee Internet access to each of its citizens, just like any other constitutional right. Special projects such as Village Road are creating a truly inclusive information society by making internet and mobile services available to all, especially those in rural and remote regions. Citizens have access to nearly all government documents online and are encouraged to participate online in legislative processes.
The Middle East has been especially successful in its efforts to increase networked readiness in the recent past. During the last six years, the region recorded the largest growth in Internet users among the major world areas, as the number of Middle East citizens accessing the web soared by more than 600%, three times the world´s average increase. Some Gulf countries such as the United Arab Emirates stand out in their efforts to foster and leverage ICT. Since 2000, UAE policymakers have promoted the transformation of the Emirates into information-rich societies. The UAE has also launched several technology-intensive innovation initiatives such as the Dubai Media City (DMC); launched in November 2000; next to DMC are Dubai Internet City (DIC) and Knowledge Village (KV). The major goal of the multi-billion dollar DMC, DIC, and KV complex is to create a cluster of innovation comprising educators, incubators, logistic companies, multimedia businesses, telecommunication companies, remote service providers, software developers, and venture capitalists in one place. Dubai Internet City is the region’s first technology innovation zone and is viewed by decision makers in this country as an economic driver not only to Dubai’s economy, but to the UAE’s as a whole. Today, hundreds of high-tech firms are located in the DIC, while the DMC houses more than 550 media companies, including global giants, along with regional companies and new start–ups. Companies in this high tech corridor employ more than 7,000 knowledge workers from all around the world.
Similar examples of ICT excellence can be found in other countries in the Middle East including less rich economies such as Jordan and Egypt. Jordan has championed innovation in the educational system in the country through the use of ICT. Through the Jordan Education Initiative (JEI), the country’s main objective is to enable its students to compete globally in the knowledge economy; train teachers and administrators to use technology in the classroom; and guide students through critical thinking and analysis. Today, the JEI is being replicated in Rajasthan, India (launched in November 2005), the Palestinian territories, Bahrain, and most recently Egypt (launched in May 2006) and other countries.
Of some concern is the relative stagnation of African countries at large. Though some African countries in North Africa such as Tunisia are performing well and others such as Egypt and Morocco are improving their positions, the whole continent as a whole (with the exception of South Africa) is not succeeding in keeping up with the rapid pace of change in ICT in other regions of the world.
More important than rising Internet access or ringing mobile phones, is awareness amongst public and private stakeholders and decision makers that it is no longer possible to relegate ICT policies to an administrative sideshow. A country´s ICT capabilities can profoundly affect its capacity to innovate, its global competitiveness, as well as improve the socio-economic prospects of its less-advantaged citizens. Senior-level attention to ICT as a key enabler of innovation has been expressed in different ways in different countries, but a fundamental and salutary change is that these issues now rank as a top agenda items.
