Information Economy Report 2011

ICTs as an Enabler for Private Sector Development

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One of the few monitoring global trends related to information and communication technologies (ICTs) from a development perspective, this publication is a valuable reference for policymakers in developing countries. Special attention is given to ICTs in accelerating private sector development (PSD) in developing countries. Many national and donor strategies related to PSD fail to take adequate account of the ICT potential, which has greatly expanded thanks to changes in the global ICT landscape. Different facets of the ICT-PSD interface are explored, including: ICT infrastructure as a factor in the investment climate; ICT use by the private sector; the ICT sector as a part of the private sector, and finally, ICT use in interventions aimed at facilitating PSD.



Facilitating enterprise use of ICTs

Information and communication technologies (ICTs) are used by private enterprises to improve their productivity and competitiveness in the market place. Various kinds of ICTs help firms in all sectors to manage their resources more efficiently, access the information needed for better business decision-making, reduce the costs of business transactions and enhance their ability to bring their products and services to customers. Consequently, it is useful to consider ways to enhance business use of ICTs in the context of private sector development. To promote ICTs within firms, governments need to provide an enabling environment that is conducive to business use of ICTs. Characteristics of such an environment include the availability of affordable and relevant ICT infrastructure – an area which is still characterized by significant divides. There is also a need to ensure access to adequately trained human resources and a legal and regulatory framework that supports the uptake and productive application of ICTs.


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