Inclusive digital economies for the sustainable development goals, UNCDF new release
The UN Capital Development Fund (UNCDF) released a new publication that explores the future of digital economies and how to make the digital transformation inclusive. The report highlights the potential of digital technology and associated innovations in promoting the inclusion and advancement of vulnerable populations and in advancing towards sustainable development goals (SDGs). The paper found that the gap in financing to achieve the SDGs was estimated at US$2.5 trillion per year until 2030 for developing countries, which was further aggravated by the COVID-19 crisis due to the socio-economic ramifications. Yet, digital finance can help to bridge this gap by a) transforming how finance can be mobilised to support the SDGs, b) transforming how finance can be channeled to the economic sectors and populations that need it most, at scale and very low cost, and c) creating the incentives for further investments in areas where that impact is greatest. To promote inclusive growth, the paper argues that finance and digital literacy are quintessential including critical complementary elements: robust innovative use cases; a digital infrastructure for use cases to run on and be accessible; and policies and regulations that protect individuals and their information, engendering trust in the digital economy.