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Presentation at Short courses on key

international economic issuesGeneva, 14 May 2012

Torbjörn FredrikssonOIC, Science, Technology and

ICT Branch, UNCTAD

ICT for DevelopmentICT for Development

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OutlineOutline

Why information and communication technologies (ICTs) matterRecent trends in the global ICT landscapeUNCTAD’s role

Cécile:

E-commerce and cyberlaw harmonizationUNCTAD’s support to the EACThe case of Mobile MoneyPlanned projects (ASEAN, Central America)ICTPRs

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Why ICTs matter (1)Why ICTs matter (1)To enhance progress towards the MDGsTo enhance progress towards the MDGs

New technology-based solutions that did not exist when the Goals were endorsed can and should be leveraged to allow for rapid scaling up. The most important of these technologies involve use of mobile telephones, broadband Internet, and other information and communications technologies.

“

”Source: Report of the Secretary-General, 12 February 2010, A/64/665.

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Why ICTs matter (2)Why ICTs matter (2)General-purpose technology: can be applied throughout societyGeneral-purpose technology: can be applied throughout society

ICT4D

E-government

E-health

E-commerce

E-agriculture E-business

E-education

E-environment

E-banking

Disaster risk reductionE-governance

ICT Infrastructure ICT skills Local content Legal framework

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Why ICTs matter (3)Why ICTs matter (3)Areas of relevance to UNCTAD Areas of relevance to UNCTAD

Information Economy rather than Information SocietyThe production of ICT goods and services

Value added/composition of ICT sectorJob creationTrade (ITA; Offshoring; Value chains, etc)Innovation

The use of ICT goods and servicesDigital dividesEnhanced productivity

E-government for businessLegal issues

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Why ICTs matter (4)Why ICTs matter (4)ICTs, Enterprises and Poverty Alleviation ICTs, Enterprises and Poverty Alleviation

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Why ICTs matter (5)Why ICTs matter (5)The case of ICTs and Private Sector Development The case of ICTs and Private Sector Development

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The Evolving ICT Landscape (1)The Evolving ICT Landscape (1)Mobiles preferred ICT tool among small businessesMobiles preferred ICT tool among small businesses

Source: ITU

Mobile subscriptions per 100 inhabitants, by country group, 2000-2010

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The Evolving ICT Landscape (2)The Evolving ICT Landscape (2)New forms of mobile useNew forms of mobile use

Text messaging (SMS)Mobile money

Expanding especially in AfricaOnly 5 systems in the EU

Mobile InternetSmartphone sales surgingAfrica: 84m mobiles already Internet-enabledChina: 12% of Internet users go on-line via the mobileIndia: >250m mobile data users

Mobile broadband

Sources: UNCTAD, GSMA, ITU, national data, Gartner, J.M. Ledgard.

Mobile money deployments, 2001-2011(number of deployments)

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The Evolving ICT Landscape (3)The Evolving ICT Landscape (3)Broadband dividesBroadband divides

Sources: UNCTAD, Ookla, ITU.

Average download speeds, selected economies, 2010 (Mbps)

Penetration gap• < 1m fixed broadband subscriptions in LDCs• Person in developed country almost 300 times more likely to have access to fixed broadband than a person in an LDC

Different speeds Price differences

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Mobile Sector Employment, Selected EconomiesMobile Sector Employment, Selected Economies

The Evolving ICT Landscape (4)The Evolving ICT Landscape (4)New job opportunities in mobile sectorNew job opportunities in mobile sector

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Mobile phones and dairy farmers in BhutanMobile phones and dairy farmers in Bhutan98 per cent of population (690,000) live in rural areasMobiles 2005-2010: from 5 to 55 subscriptions/100 peopleNow supporting dairy farmers

Access to market and price informationAvoid intermediaries – deal directly with customersIncreased direct sales, less waiting timeImproved communications

Mobiles are affordableGovernment launched mobile info system – 4 languagesNew employment has been createdSupport to livelihood of poor farmers

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Crowd-sourcing of Micro-workCrowd-sourcing of Micro-work

Source: UNCTAD, World Bank and ODesk.

Case Amazon Mechanical Turk

• In 2008, 76% of micro-workers in US, 8% India

• In 2010, 47% in US, 34% in India, remaining 19% in 66 (!) other countries

Hours worked by week via the ODesk platform

The Evolving ICT Landscape (5)The Evolving ICT Landscape (5)The rise of "crowdsourcing" and "freelancing"The rise of "crowdsourcing" and "freelancing"

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Freelancers in BangladeshFreelancers in Bangladesh

10,000 freelancers active onlineMost service clients in US or EuropeProvide a range of services over the web

Software developmentGraphic designSocial media marketing, etc

New Central Bank Directive (2011):Revenue should be treated as export-related commercial income rather than as remittances

Source: UNCTAD, BASIS and ITC.

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Opportunities and ImplicationsOpportunities and Implications

New ICT landscape opens for more inclusive developmentKey areas within ICT sector:

Mobile sectorSoftware – growing local demand, new export channelsOutsourcing/crowdsourcing – ICT-enabled services

It takes more than infrastructureNeed for comprehensive strategies – address the four facets – to reap full development benefit from ICTsMove from supply to demand-driven interventionsLeverage partnerships with private sector and civil societyBetter data needed – especially in services

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UNCTAD’s Role (1)UNCTAD’s Role (1)

MandateDoha Mandate $56qAccra Accord $ 158-161

Active in all three pillarsResearch and analysis

Information Economy Report, statistics

Technical assistance and capacity-buildingMeasuring the Information EconomyE-commerce and law reformICT Policy Reviews

Consensus-building

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UN Group on the Information Society (UNGIS)UNCTAD current chair (until end of 2012)ITU, UNESCO, UNDP and UNDESA vice chairs29 members

Co-organizer of the annual WSIS ForumLead facilitator of Action Line C7 on E-business

Secretariat of the (CSTD) Follow-up to the WSIS

Partnership on Measuring ICT for DevelopmentMember of its Steering Committee12 members

UNCTAD’s Role (2)UNCTAD’s Role (2)Collaboration within UN systemCollaboration within UN system

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Donors Supporting UNCTAD in ICT4DDonors Supporting UNCTAD in ICT4D

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Questions and Answers