Promise of Digital Transformation
The Promise of Digital Transformation
The development paradigm has shifted to ‘digital by default’ as a norm, reshaping societies and economies. As a hub for digitally driven innovations, Asia and the Pacific is well positioned to leverage the transformative potential of digital technologies to accelerate progress towards the Sustainable Development Goals.
Emerging technologies are enabling smarter climate action, building more disaster-resilient cities and optimizing urban development. Artificial intelligence is helping improve the accuracy of early warning systems for disasters by providing the right information that reaches all the right people at the right time.
Digital finance is more inclusive – expanding access especially for marginalized groups – while digital government platforms likewise enable public services to reach all citizens more effectively and efficiently.
The Asia-Pacific Digital Transformation Report 2024, which will be launched this week, demonstrates how digital innovations have enabled more sophisticated climate mitigation and adaptation measures across infrastructure, governance, mobility, industry and trade, disaster risk reduction, and agricultural and biodiversity ecosystems.
Drawing from International Energy Agency data, the deployment of digital technologies and big data could save $80 billion per year or around 5 per cent of total world annual power generation costs, while digitalization can help the integration of renewables by enabling smart grids to better match energy demand.
However, the opportunities presented by digital innovations for sustainable development also face challenges and looming threats. The Asia-Pacific region is confronted with several barriers to the broad-scale adoption of digital solutions.
While 96 per cent of the population in Asia and the Pacific live in areas covered by mobile broadband networks, it is estimated that only one-third productively uses internet services and up to 40 per cent lacks basic digital skills.
Moreover, while four out of five people in urban areas use the Internet, in rural regions, this figure is only 52 per cent. Such gaps in meaningful access are due to digital divides that broadly follow age, income, education and geographic fault lines, with the gender divide underlying all these aspects.
With the use of artificial intelligence rapidly rising, the need and urgency to bridge the digital divides between and within countries remain critical to ensure the full enjoyment of the benefits of digital technologies for all, while minimizing their risks.
Deploying innovative breakthrough solutions in bridging the digital divide and leveraging digital transformation for sustainable development will require mobilizing investments at scale in new infrastructure and connectivity.
To this end, expanding affordable high-speed Internet coverage particularly among marginalized and underserved communities in rural areas, as well as offering digital skills training and lifelong learning, are critical for reducing digital disparities and connecting the unconnected.
By sharing knowledge, experiences and practices among countries, regional cooperation can create a conducive environment for innovation to flourish and steer us towards an inclusive digital future.
These holistic approaches require a high level of policy ambition. At the Asia-Pacific Ministerial Conference on Digital Inclusion and Transformation, which ESCAP is organizing in partnership with the Government of Kazakhstan in Astana this week, Ministers are expected to commit to a common vision, centred on innovative, collaborative digital solutions grounded in regional cooperation.
In this regard, the conference will consider the possibility of establishing a Digital Solutions Centre for Sustainable Development in Kazakhstan that aims to share practical digital solutions to advance the sustainable development agenda in the region.
Relatedly, the ESCAP Asia-Pacific Information Superhighway Initiative and its Action Plan 2022-2026 contributes to the collective push to extend meaningful connectivity to all, scale up digital technology applications and strengthen digital data, which form the foundations for an inclusive, sustainable digital future.
