There are 2.9 billion people worldwide who do not have access to the internet or have no opportunity to participate in the digital economy. Despite advances in technology, the digital divide continues to affect all aspects of life, from banking to healthcare, education, communications and media.
Two years ago, on September 21, 2022, world leaders recognized the importance of technology as a fundamental global issue in Declaration of the General Assembly on the 75th Anniversary of the Founding of the United Nations. The world is committed to improving digital cooperation and maximizing digital technologies.
However, digital inclusion is more than just bridging the gap. It is an opportunity to build a just and equal society and a thriving economy.
The World Economic Forum reported in May 2022 that with 95% of the world’s population residing within mobile broadband network coverage, the digital gap is less about connectivity and more about a combination of lack of technical know-how limited numbers and devices. Even people with internet struggle to get good quality service at an affordable price. Only 53% of the world’s population has access to high-speed broadband.
Although the digital divide is more significant in rural areas and disproportionate for certain groups, affecting more women than men, for example, it still impacts countries as well. developed and underdeveloped. About half of the US population does not have access to broadband speeds due to a lack of coverage or skills, Harvard Business School speak.
TechRepublic spoke to Jonathan Wongdirector of technology and innovation of the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP), and Anna OsbourneHead of Marketing and Communications at Organize good things in the UK, to understand the challenges of digital inclusion and the opportunities that drive technology.
From saving money to improving job prospects and flexibility, Osbourne explains, “there are many benefits to society, organizations and individuals from digital inclusion.”
“At the societal level, organizations and governments can benefit from channel transformation, the ability to deliver services more efficiently, and a highly skilled workforce,” added Osbourne.
Cutting people off from easy access to information, learning, and essential services translates into billions of dollars in lost money.
Technology and engineering projects that promote digital inclusion
In Asia and the Pacific, UN’s ESCAP warns that despite the considerable opportunities, women in the region are constrained by various factors. Women are affected by the gender gap in cell phone ownership, with lower wages, lower education and lower financial literacy, Wong told TechRepublic.
Wong recognizes that the pandemic has sped up digital economies and societies at an unimaginable rate but ensures that digital transformation is not without challenges. “In the Asia-Pacific region alone, more than two billion people do not have access to the digital world,” Wong revealed.
“Digital technologies have enabled governments to deploy social protection programs at speed and scale, while enabling e-health and online education; while digital finance and e-commerce have supported businesses to continue operating and transacting,” explained Wong.
ESCAP — in partnership with Griffith Asia Institute — recently released Policy Guide: Harnessing Digital Technology for Financial Inclusion in Asia and the Pacific. This guide provides policymakers with a framework for developing a policy and a regulatory environment that enables the poor and women to benefit from digital financial products and services.
Projects, where governments, organisations, the private sector and the community work together, emerge as new avenues to address the digital inclusion crisis. In the United Kingdom, where 10 million people still lack the most basic of digital skills, 1.5 million don’t have access to the Internet and 2 million struggle to afford it, the Good Things Foundation has offers a new social infrastructure to address digital exclusion.
“The barriers to people going digital are complex but generally cover four areas: skills, motivation, confidence and accessibility,” Osborne said.
The Foundation works by partnering with national, regional and local organizations and communities to assist those affected by the lack of digital inclusion policies. Last year, they partnership with Virgin Media O2 to address “data poverty” in the UK through the National Data Bank. Virgin Media O2 is committed to providing free mobile data to tackle the country’s digital inclusion crisis. Virgin Media O2 announced that in July 2022 it is expanding its program with an additional 15 million GB of free data to help people stay connected as the cost of living crisis escalates in the UK.
Osbourne explains that National Databank is “the national food bank of connected data,” helping hundreds of thousands of vulnerable people in communities across the country. This initiative has distributed around 500,000 SIMs and free mobile data, donated by Virgin Media O2, Vodafone and Three.
The Good Things Foundation is also setting up a National Device Bank to assist those who cannot connect to the internet because they cannot afford to buy their own devices. This initiative aims to close the technology device ownership gap through technology device donation.
In the Asia-Pacific region, ECAP continues to work to ensure that inclusion is at the heart of the digital transformation the world has embraced since the pandemic began. And just like in the UK, the private sector is key to creating opportunity.
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“In Asia Pacific, where the private sector plays an important role in the development of digital technologies, ensuring that businesses develop these technologies is ‘inclusive’ is a program Important policy for governments striving for digital inclusion is arguably more than any particular technology,” Wong said.
Technology companies can penetrate new markets, found in the economy, by creating accessible and affordable technology products and services that are subject to inclusive policies this boss.
ESCAP and the United Nations Capital Development Fund (UNCDF) also initiated Fintech Innovation Fund MSME for Women to help FinTechs, financial service providers and innovators develop, test and scale solutions that help women entrepreneurs succeed.
“Through this fund, we worked with SHE Investments to launch KOTRA-Riel accounting application, the first tool designed to support Cambodian micro-entrepreneur planning, cash flow management and access to formal financial services,” added Wong.
One of the most important barriers female entrepreneurs face in growing and scaling their businesses is access to finance. Limited collateral, lack of financial history and low digital literacy are the main challenges female micro-entrepreneurs face in accessing finance from banks.
“KOTRA-Riel works to address these challenges by creating a simple, user-friendly experience that allows non-technical people to track business income and expenses just at the touch of a button,” Wong added.
In addition, recently – through a partnership between the ASEAN Secretariat and ESCAP – the Economic Ministers of ASEAN Member States adopted the Guidelines for Promoting Inclusive Enterprises in ASEAN, making the country a became the first region in the world to adopt such a set of guidelines.
“Ensuring that the digital transformation happening all around us doesn’t become another facet of deep inequality is perhaps one of the biggest challenges we face,” says Wong. as countries begin to rebuild.”
In the UK, Osborne says barriers to digital inclusion are unlikely to be overcome through technology solutions but rather through helping to improve skills, reduce costs and eliminate barriers. access barriers. This has to be done in partnership with industry, government, the third sector and the community, says Osborne.
