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ICT and Human
               Development

               Dejan Mincic – UNDP Moldova
www.undp.md
Contents

  Deciphering the Human Development Agenda

  Digital Divide – a concept of the past?

  Lessons Learned from ICT for Development

  Role of the Governments and Private Sector

  Moldova and the CIS – ICT Development Index vs. Human Development Index

  The way forward




www.undp.md                                                                 2
Human Development is about…

  Enlarging human choices
  Building human capabilities and using them fully
  Ensuring equity and productivity

  A participative and empowering process, relevant across the Board, but
  especially in the developing countries

  UNDP is a development arm of the United Nations. Supporting
  countries in accelerating the progress on Human Development is at the
  core of its mandate

  Activities in 166 countries, 27 of which in the Europe and CIS region




www.undp.md                                                                3
Elements of Human Development


                 EQUITY                PRODUCTIVITY
                                      AND EFFICIENCY




      PARTICIPATION
          AND
      EMPOWERMENT                      SUSTAINABILITY




                      POLICY AND PLANNING


www.undp.md                                             4
“Digital Divide”

  Digital divide is a reflection of existing socio-economic and
  political “divides”

  “Traditional divides” persist in most developing countries

  Need to address them with innovative tools and integrated
  solutions

  New ICTs as one such tool (not the only one, not a panacea!)




www.undp.md                                                       5
Linking ICT to Development




www.undp.md                                6
ICT for Development (Evolution)


Four phases since 1990:

   Infrastructure, connectivity and access - 1991
   Local capacity building - 1997
   Applications (e-government, e-commerce etc.) – 2000
   Web 2.0 (bottom-up collaboration, etc.) 2005 -

Each phase emerges from and builds upon the previous one
Lessons Learned
   ICT ALONE IS INSUFFICIENT FOR SIGNIFICANT BENEFITS TO EMERGE

   ICT WILL NOT TRANSFORM BAD DEVELOPMENT INTO GOOD
   DEVELOPMENT, BUT IT CAN MAKE GOOD DEVELOPMENT EVEN
   BETTER

   EFFECTIVE APPLICATION OF ICT COMPRISES BOTH TECHNOLOGICAL
   AND INFORMATION INFRASTRUCTURES

   DIGITAL DIVIDE IS A SYMPTOM. DIVIDE IS TRADITIONAL AND IMPACTS
   THE DIGITAL ASPECTS.

   ICT PROVIDES OPPORTUNITIES FOR DEVELOPMENT, BUT DESIRABLE
   OUTCOMES ALWAYS ARISE FROM THE ACTIONS OF PEOPLE

   ICT, IN ABSENCE OF A DEVELOPMENT STRATEGY TO MAKE EFFECTIVE
   USE OF THEM RESULTS IN SUB-OPTIMAL OUTCOMES

www.undp.md                                                         8
Lessons Learned (cont’d)

  Traditional e-government is not delivering!

  In 2008, over 80 billion USD were invested on e-government

  In developing countries, over 65% of e-government projects failed (35%
  being “total” failures)

  Characterized by:
  => uncoordinated, sectorial interventions
  => technology focused (usually high-end)
  => supply driven
  => do not reach citizens/stakeholders




www.undp.md                                                                9
E-governance Framework

                                     Policy and regulation


    National




                        e-administration                        e-services

                                                                               Access
   State                                                                          to
                                                                             Information
                                             e-participation
           Democratic
           Governance
           Enhanced

  Local
                                               Infrastructure
                                                                                      10
www.undp.md
Role of the Governments and Private Sector

    DEVELOPMENT STRATEGIS TAILORED TO THE LOCAL CONTEXT, AND CATERED
    TO A WIDER REGIONAL AND GLOBAL REALITIES

    PUBLIC AND PRIVATE PARTNERSHIPS ENABLED AND GROOMED

    GOVERNMENTS SHOULD LEAD BY EXAMPLE

    EFFECTIVE REGULATORY AUTHORITY IS PARAMOUNT IN ENSURING INTERESTS
    OF THE POPULATION

    POLICIES (ACCESS TO ELECTRICITY, REGULATION OF ICT SERVICES COSTS,
    ENVIRONMENTAL IMPACT, PROMOTING EMPOWERMENT AND PARTICIPATION)

    MARKET LIBERALIZATION AND COMPETITION

    CORPORATE AND SOCIAL RESPONSIBILITY

    ENSURING SUSTAINABILITY

www.undp.md                                                              11
ICT Development Index
                                                            Source: ITU (Measuring the Information Society 2009)


                                                                     •    High: Economies included in this group have high level
                                                                          of ICT access and use and high ICT skills. The 33
                     ICT DELEVOPMENT        ICT Development Index
                                                                          economies accounted for 15 per cent of the world’s
                        INDEX RANK          (IDI)
                                                                          population in 2007 and included twenty-one European
                                                                          countries, ten Asia & Pacific economies, as well as
                                                                          Canada, and the United States.
                                                                     •    Upper: Economies included in this category are those
                     Out of 154 Countries                                 that have achieved an elevated level of access to and
Country               Analyzed by ITU       Group Rank                    use of ICTs, and ICT skills, for a majority of their
Albania                       85            MEDIUM                        inhabitants. In total, they accounted for almost 780
Armenia                       72            MEDIUM                        million people. The economies included in both this
Azerbaijan                    86            MEDIUM                        group and in the “high” group accounted for more than 27
Belarus                       54            UPPER                         per cent of the total population in 2007.
                                                                     •    Medium: This group includes economies that account for
Bosnia-Herzegovina           58             UPPER                         more than one-third of the total population (37 per cent or
Bulgaria                     45             UPPER                         2.4 billion inhabitants).
Croatia                      43             UPPER                    •    Low: The remaining one-third of the world’s inhabitants
Cyprus                       37             UPPER                         can be found in this group (36 per cent or 2.3 billion
Georgia                      80             MEDIUM                        people). Except for two countries from Latin America and
Kazakhstan                   69             MEDIUM                        the Caribbean (Nicaragua and Haiti), most of the
Kyrgyzstan                   93             MEDIUM                        Southern-Asian countries are classified under this group
Latvia                       36             UPPER                         along with most of the Sub-Saharan African countries.
Lithuania                    33             HIGH                          This group reflects countries with low level of ICT
Macedonia                    65             UPPER                         access, usage and skills.
Moldova                      68             MEDIUM
Montenegro                                  N.I.                                          ICT access indicators (Source: ITU)
                                                                                            Fixed telephone line penetration
Romania                      46             UPPER                                              Mobile cellular penetration
Russia                       50             UPPER                                  International Internet bandwidth per Internet user
Serbia                                      N.I.                                        Proportion of households with computer
                                                                                         Proportion of households with Internet
Slovakia                      38            UPPER                                                  ICT use indicators
Tajikistan                   106            MEDIUM                                          Internet user per 100 inhabitants
Turkey                        59            UPPER                                   Fixed broadband subscribers per 100 inhabitants
                                                                                     Mobile broad subscriptions per 100 inhabitants
Turkmenistan                 104            MEDIUM                                                ICT skills indicators
                                                                                                   Adult literacy rate
Ukraine                       51            UPPER                                           Secondary gross enrolment ratio
Uzbekistan                   110            MEDIUM                                           Tertiary gross enrolment ratio
Correlations (a coincidence?)
                       Broadban                    Broadban                            Human Development
               % of d                ICT             d Sub-                            Index and Illiteracy
            Populatio Subscrib DELEVOP ICT         Basket (%                           Rate                                           IDI and HDI
                 n     ers         MENT Developm of GNI Broadban UNDP's UNDP's
            (penetrati             INDEX ent Index     per    d Cost Connecti Connecti
             on rate)              RANK (IDI)        capita)   USD      vity     vity2
                                                                                                                     There is a notable correlation between the ICT
                                                                                                  Adult               Development Index and Human Development
                                   Out of                                                         illiteracy            Index. Four bottom Countries (Kyrgyzstan,
              (users                 154           Rank (out                           HDI        rate (% of          Tajikistan, Turkmenistan and Uzbekistan) are
             per 100 Per 100 Countries               of 150                            RANK       population
                                                                                                                       ranked low in both IDI and HDI terms. Their
            inhabitan             Analyzed Group   countries                    Speed (out of     aged 15
Country         ts)    inhab.      by ITU Rank     ) USA = 1 USA = 15  Type    (Down) 182)        and above)        Internet penetration rate is consistently low, cost
Albania        13%          1.27      85   MEDIUM      82      31.4     DSN       512          70              1      is high relative to the GNI %, and even UN in
Armenia         7%          0.06      72   MEDIUM      96      39.2    T1/T3    > 4096         84            0.5    those countries is so far dependent on the VSAT
Azerbaijan     18%          0.69      86   MEDIUM     110      84.5   Wireless   2048          86            0.5          technologies for Internet access. Small,
Belarus        29%          4.94      54   UPPER       n.i.     n.i.   T1/T3    > 4096         68            0.3
               28%          4.99                                                               76            3.3
                                                                                                                     scattered ISPs are available in the market, but
Bosnia-                                                               Leased
Herzegovina                           58   UPPER       55      14.8     line     1024                                data security, confidentiality and privacy issues
Bulgaria       37%         10.82      45   UPPER       52      15.6    ISDN      1024          61            1.7                are insufficiently regulated.
Croatia        50%         11.86      43   UPPER       39      20.9    ISDN      4096          45            1.3
Cyprus         42%         15.66      37   UPPER        7      16.5    ISDN      2048          32            2.3          The literacy rate and digital divide
Georgia        22%          2.23      80   MEDIUM     104      47.6    T1/T3      512          40              0
Kazakhstan     15%          4.26      69   MEDIUM      n.i.     n.i.   ISDN      4096          89            0.4
Kyrgystan      16%          0.05      93   MEDIUM      n.i.     n.i.   VSAT      1024         120            0.7     Adult literacy rate is already covered by the IDI.
Latvia         56%          6.44      36   UPPER       44       26     ISDN     > 4096         48            0.2      However, even though some of the bottom-
Lithuania      50%         17.77      33   HIGH        36      15.9     DSN      2048          46            0.3    ranked countries have relatively low literacy rate
Macedonia      42%          8.77      65   UPPER       59      14.7    T1/T3     2048          72              3       compared to the others, they are facing the
Moldova        18%          3.17      68   MEDIUM      99      23.2    T1/T3     4096         117            0.8
                                                                                                                     danger of computer illiteracy, digital divide and
Montenegro     43%          4.16           N.I.        58      21.3    T1/T3     1024          65            3.6
Romania        28%         11.75      46   UPPER       53      22.7    T1/T3     4096          63            2.4          loss of competitive skills in the future.
Russia         32%          6.56      50   UPPER       37      13.9    T1/T3     2048          71            0.5
Serbia         29%          4.59           N.I.        38        9     ISDN      2048          67            3.6       These correlations are no coincidence.
Slovakia       51%         11.46      38   UPPER       42      28.5    T1/T3     4096          42              ..
Tajikistan      8%              -    106   MEDIUM      n.i.     n.i.   VSAT      2048         127            0.4     OECD estimates that Broadband penetration
Turkey         32%          7.78      59   UPPER       n.i.     n.i.   T1/T3     2048          79          11.3
                2%            ...                                                             109            0.5
                                                                                                                     and use may be one of the main drivers of the
Turkmenista
n                                    104   MEDIUM      n.i.     n.i.   VSAT      1024                                   knowledge-based economies and internet
Ukraine        23%          3.48      51   UPPER       79      20.8    T1/T3    > 4096         85            0.3      societies in the future. Looking at the IDI and
Uzbekistan      9%          0.24     110   MEDIUM      n.i.     n.i.   VSAT      1024         119            3.1        HDI rankings, the low-ranked societies are
                                                                                                                       facing a complex challenge in the changing
TOTAL
Europe CIS    28%
                                                                                                                                      world economy.

WORLD
TOTAL        23.80%
The Way Forward


                            Development-based policies

              European Integration Agenda (EU2020 and Digital Agenda)

                                    Broadband

                            Security and Infrastructure

                        Digital TV and information services

                                  E-Governance




www.undp.md                                                             14
Thank You!


                   Dejan Mincic
                  UNDP Moldova
              dejan.mincic@undp.org

                  www.undp.md




www.undp.md                           15

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UNDP experiences in the region on linking ICT with Human Development

  • 1. ICT and Human Development Dejan Mincic – UNDP Moldova www.undp.md
  • 2. Contents Deciphering the Human Development Agenda Digital Divide – a concept of the past? Lessons Learned from ICT for Development Role of the Governments and Private Sector Moldova and the CIS – ICT Development Index vs. Human Development Index The way forward www.undp.md 2
  • 3. Human Development is about… Enlarging human choices Building human capabilities and using them fully Ensuring equity and productivity A participative and empowering process, relevant across the Board, but especially in the developing countries UNDP is a development arm of the United Nations. Supporting countries in accelerating the progress on Human Development is at the core of its mandate Activities in 166 countries, 27 of which in the Europe and CIS region www.undp.md 3
  • 4. Elements of Human Development EQUITY PRODUCTIVITY AND EFFICIENCY PARTICIPATION AND EMPOWERMENT SUSTAINABILITY POLICY AND PLANNING www.undp.md 4
  • 5. “Digital Divide” Digital divide is a reflection of existing socio-economic and political “divides” “Traditional divides” persist in most developing countries Need to address them with innovative tools and integrated solutions New ICTs as one such tool (not the only one, not a panacea!) www.undp.md 5
  • 6. Linking ICT to Development www.undp.md 6
  • 7. ICT for Development (Evolution) Four phases since 1990: Infrastructure, connectivity and access - 1991 Local capacity building - 1997 Applications (e-government, e-commerce etc.) – 2000 Web 2.0 (bottom-up collaboration, etc.) 2005 - Each phase emerges from and builds upon the previous one
  • 8. Lessons Learned ICT ALONE IS INSUFFICIENT FOR SIGNIFICANT BENEFITS TO EMERGE ICT WILL NOT TRANSFORM BAD DEVELOPMENT INTO GOOD DEVELOPMENT, BUT IT CAN MAKE GOOD DEVELOPMENT EVEN BETTER EFFECTIVE APPLICATION OF ICT COMPRISES BOTH TECHNOLOGICAL AND INFORMATION INFRASTRUCTURES DIGITAL DIVIDE IS A SYMPTOM. DIVIDE IS TRADITIONAL AND IMPACTS THE DIGITAL ASPECTS. ICT PROVIDES OPPORTUNITIES FOR DEVELOPMENT, BUT DESIRABLE OUTCOMES ALWAYS ARISE FROM THE ACTIONS OF PEOPLE ICT, IN ABSENCE OF A DEVELOPMENT STRATEGY TO MAKE EFFECTIVE USE OF THEM RESULTS IN SUB-OPTIMAL OUTCOMES www.undp.md 8
  • 9. Lessons Learned (cont’d) Traditional e-government is not delivering! In 2008, over 80 billion USD were invested on e-government In developing countries, over 65% of e-government projects failed (35% being “total” failures) Characterized by: => uncoordinated, sectorial interventions => technology focused (usually high-end) => supply driven => do not reach citizens/stakeholders www.undp.md 9
  • 10. E-governance Framework Policy and regulation National e-administration e-services Access State to Information e-participation Democratic Governance Enhanced Local Infrastructure 10 www.undp.md
  • 11. Role of the Governments and Private Sector DEVELOPMENT STRATEGIS TAILORED TO THE LOCAL CONTEXT, AND CATERED TO A WIDER REGIONAL AND GLOBAL REALITIES PUBLIC AND PRIVATE PARTNERSHIPS ENABLED AND GROOMED GOVERNMENTS SHOULD LEAD BY EXAMPLE EFFECTIVE REGULATORY AUTHORITY IS PARAMOUNT IN ENSURING INTERESTS OF THE POPULATION POLICIES (ACCESS TO ELECTRICITY, REGULATION OF ICT SERVICES COSTS, ENVIRONMENTAL IMPACT, PROMOTING EMPOWERMENT AND PARTICIPATION) MARKET LIBERALIZATION AND COMPETITION CORPORATE AND SOCIAL RESPONSIBILITY ENSURING SUSTAINABILITY www.undp.md 11
  • 12. ICT Development Index Source: ITU (Measuring the Information Society 2009) • High: Economies included in this group have high level of ICT access and use and high ICT skills. The 33 ICT DELEVOPMENT ICT Development Index economies accounted for 15 per cent of the world’s INDEX RANK (IDI) population in 2007 and included twenty-one European countries, ten Asia & Pacific economies, as well as Canada, and the United States. • Upper: Economies included in this category are those Out of 154 Countries that have achieved an elevated level of access to and Country Analyzed by ITU Group Rank use of ICTs, and ICT skills, for a majority of their Albania 85 MEDIUM inhabitants. In total, they accounted for almost 780 Armenia 72 MEDIUM million people. The economies included in both this Azerbaijan 86 MEDIUM group and in the “high” group accounted for more than 27 Belarus 54 UPPER per cent of the total population in 2007. • Medium: This group includes economies that account for Bosnia-Herzegovina 58 UPPER more than one-third of the total population (37 per cent or Bulgaria 45 UPPER 2.4 billion inhabitants). Croatia 43 UPPER • Low: The remaining one-third of the world’s inhabitants Cyprus 37 UPPER can be found in this group (36 per cent or 2.3 billion Georgia 80 MEDIUM people). Except for two countries from Latin America and Kazakhstan 69 MEDIUM the Caribbean (Nicaragua and Haiti), most of the Kyrgyzstan 93 MEDIUM Southern-Asian countries are classified under this group Latvia 36 UPPER along with most of the Sub-Saharan African countries. Lithuania 33 HIGH This group reflects countries with low level of ICT Macedonia 65 UPPER access, usage and skills. Moldova 68 MEDIUM Montenegro N.I. ICT access indicators (Source: ITU) Fixed telephone line penetration Romania 46 UPPER Mobile cellular penetration Russia 50 UPPER International Internet bandwidth per Internet user Serbia N.I. Proportion of households with computer Proportion of households with Internet Slovakia 38 UPPER ICT use indicators Tajikistan 106 MEDIUM Internet user per 100 inhabitants Turkey 59 UPPER Fixed broadband subscribers per 100 inhabitants Mobile broad subscriptions per 100 inhabitants Turkmenistan 104 MEDIUM ICT skills indicators Adult literacy rate Ukraine 51 UPPER Secondary gross enrolment ratio Uzbekistan 110 MEDIUM Tertiary gross enrolment ratio
  • 13. Correlations (a coincidence?) Broadban Broadban Human Development % of d ICT d Sub- Index and Illiteracy Populatio Subscrib DELEVOP ICT Basket (% Rate IDI and HDI n ers MENT Developm of GNI Broadban UNDP's UNDP's (penetrati INDEX ent Index per d Cost Connecti Connecti on rate) RANK (IDI) capita) USD vity vity2 There is a notable correlation between the ICT Adult Development Index and Human Development Out of illiteracy Index. Four bottom Countries (Kyrgyzstan, (users 154 Rank (out HDI rate (% of Tajikistan, Turkmenistan and Uzbekistan) are per 100 Per 100 Countries of 150 RANK population ranked low in both IDI and HDI terms. Their inhabitan Analyzed Group countries Speed (out of aged 15 Country ts) inhab. by ITU Rank ) USA = 1 USA = 15 Type (Down) 182) and above) Internet penetration rate is consistently low, cost Albania 13% 1.27 85 MEDIUM 82 31.4 DSN 512 70 1 is high relative to the GNI %, and even UN in Armenia 7% 0.06 72 MEDIUM 96 39.2 T1/T3 > 4096 84 0.5 those countries is so far dependent on the VSAT Azerbaijan 18% 0.69 86 MEDIUM 110 84.5 Wireless 2048 86 0.5 technologies for Internet access. Small, Belarus 29% 4.94 54 UPPER n.i. n.i. T1/T3 > 4096 68 0.3 28% 4.99 76 3.3 scattered ISPs are available in the market, but Bosnia- Leased Herzegovina 58 UPPER 55 14.8 line 1024 data security, confidentiality and privacy issues Bulgaria 37% 10.82 45 UPPER 52 15.6 ISDN 1024 61 1.7 are insufficiently regulated. Croatia 50% 11.86 43 UPPER 39 20.9 ISDN 4096 45 1.3 Cyprus 42% 15.66 37 UPPER 7 16.5 ISDN 2048 32 2.3 The literacy rate and digital divide Georgia 22% 2.23 80 MEDIUM 104 47.6 T1/T3 512 40 0 Kazakhstan 15% 4.26 69 MEDIUM n.i. n.i. ISDN 4096 89 0.4 Kyrgystan 16% 0.05 93 MEDIUM n.i. n.i. VSAT 1024 120 0.7 Adult literacy rate is already covered by the IDI. Latvia 56% 6.44 36 UPPER 44 26 ISDN > 4096 48 0.2 However, even though some of the bottom- Lithuania 50% 17.77 33 HIGH 36 15.9 DSN 2048 46 0.3 ranked countries have relatively low literacy rate Macedonia 42% 8.77 65 UPPER 59 14.7 T1/T3 2048 72 3 compared to the others, they are facing the Moldova 18% 3.17 68 MEDIUM 99 23.2 T1/T3 4096 117 0.8 danger of computer illiteracy, digital divide and Montenegro 43% 4.16 N.I. 58 21.3 T1/T3 1024 65 3.6 Romania 28% 11.75 46 UPPER 53 22.7 T1/T3 4096 63 2.4 loss of competitive skills in the future. Russia 32% 6.56 50 UPPER 37 13.9 T1/T3 2048 71 0.5 Serbia 29% 4.59 N.I. 38 9 ISDN 2048 67 3.6 These correlations are no coincidence. Slovakia 51% 11.46 38 UPPER 42 28.5 T1/T3 4096 42 .. Tajikistan 8% - 106 MEDIUM n.i. n.i. VSAT 2048 127 0.4 OECD estimates that Broadband penetration Turkey 32% 7.78 59 UPPER n.i. n.i. T1/T3 2048 79 11.3 2% ... 109 0.5 and use may be one of the main drivers of the Turkmenista n 104 MEDIUM n.i. n.i. VSAT 1024 knowledge-based economies and internet Ukraine 23% 3.48 51 UPPER 79 20.8 T1/T3 > 4096 85 0.3 societies in the future. Looking at the IDI and Uzbekistan 9% 0.24 110 MEDIUM n.i. n.i. VSAT 1024 119 3.1 HDI rankings, the low-ranked societies are facing a complex challenge in the changing TOTAL Europe CIS 28% world economy. WORLD TOTAL 23.80%
  • 14. The Way Forward Development-based policies European Integration Agenda (EU2020 and Digital Agenda) Broadband Security and Infrastructure Digital TV and information services E-Governance www.undp.md 14
  • 15. Thank You! Dejan Mincic UNDP Moldova dejan.mincic@undp.org www.undp.md www.undp.md 15