A digital public infrastructure strategy for sustainable development – Exploring effective possibilities for regional cooperation (University of Western Australia)

5 Dec 2023 10:00h - 11:30h UTC

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Full session report

Vahini Naidu

The discussion centered around the challenges and opportunities related to digital public infrastructure (DPI) and brought forth several key points. One of the main concerns highlighted was the current siloed approach, which was found to hinder the formulation of coherent policies and trade negotiations in the realm of DPI. The presence of non-uniform documents and initiatives, such as the Africa Digital Transformation Strategy, the World Bank Group Digital Economy for Africa Initiative, and Africa-EU Digital Economy Partnership, was identified as a factor contributing to this problem. Moreover, it was noted that the provisions of the African Continental Free Trade Area (FTA) are not in sync with other regional and international documents addressing DPI, thereby creating further inconsistencies.

Another point of discussion revolved around trade agreements and their impact on DPI deployment. It was argued that rules negotiated in Free Trade Agreements (FTAs) and the World Trade Organization (WTO) tend to favor business and commercial interests, limiting the policy space for public welfare. The African Continental FTA was specifically criticized for its provisions related to the location of computing facilities and digital payment regimes, which were deemed to reflect influences from problematic provisions in other FTAs. As a result, it was suggested that trade agreements may not be the most suitable platforms for addressing DPI deployment.

On a positive note, the potential for South-South cooperation and shared learning experiences in the field of DPI was highlighted. Success stories from India and Africa were cited as examples of the fruitful outcomes that could arise from such collaborations. It was suggested that collaborative learning and experience sharing among countries facing similar development challenges could aid in the successful deployment of DPIs.

Furthermore, the need for a more inclusive policy framework and greater attention to public welfare benefits in the formulation of digital infrastructure policies was stressed. The argument put forth was that the current approach towards DPIs, particularly from a commercialized perspective like payment systems, does not adequately cater to the social and inclusive aspects of DPIs. Therefore, it was recommended that more emphasis be placed on considerations of social equity and public welfare in DPI provisions.

A well-coordinated approach was deemed necessary for dealing with the challenges related to DPI. Currently, multiple initiatives addressing different dimensions are being pursued in various forums, without a single significant policy instrument to guide the efforts. The United Nations technology facilitation mechanism, launched as part of the 2030 Agenda for Sustainable Development, was identified as a potential overarching framework that could address this coordination gap.

During the discussion, Vahini Naidu, a participant, expressed appreciation for the valuable information provided by the representative from the Abu Dhabi government. Notably, Naidu’s organization brings together developing countries, and she showed interest in exploring further the methods used by the Abu Dhabi representative and possibly sharing their practices.

In conclusion, the discussion highlighted the need to overcome the challenges posed by the siloed approach, trade agreements, and the lack of inclusive policies in the realm of DPI. It emphasized the potential of South-South cooperation and shared learning experiences, as well as the importance of public welfare benefits and a well-coordinated approach for dealing with DPI. The insights gained from the analysis point towards the necessity of harmonizing policies and trade agreements to foster the successful deployment of digital public infrastructure.

Sofia Scasserra

The challenge of building digital public infrastructure in Latin America stems from political instability and salary imbalances between the state and the private sector for tech workers. This issue is aggravated by the higher salaries offered by the private sector in Silicon Valley, making it difficult for the state to hire workers for digital infrastructure projects. Right-wing and left-wing governments also have different approaches to financing state-owned technological companies, further complicating the situation.

To tackle these challenges and ensure the success of digital infrastructure projects, public-private partnerships and public financing play a crucial role. Governments and private sectors can work together to offer competitive salaries to tech workers, bridging the salary gap between the state and the private sector. However, caution must be exercised to prevent potential privatization of infrastructure built by public financing. Mariana Mazzucato’s book cautions about the risk of privatization and advocates for careful consideration to maintain public ownership of such infrastructure.

Multiple stakeholders, including trade unions, should be involved from the stages of creation and ownership to ensure the longevity and resistance of digital public infrastructures to political changes. Having multiple stakeholders not only helps to stabilize the infrastructure over time but also provides opportunities for stakeholders to alter, finance, and own the digital infrastructure.

An important aspect of building digital public infrastructure in Latin America is the need for regional collaboration. By forming a regional approach comprising different countries, resources can be increased, and the number of beneficiaries can be expanded. Moreover, international negotiation and collaboration can ensure the longevity and effectiveness of the digital infrastructure.

However, it is essential to navigate potential restrictions from free trade agreements and World Trade Organization (WTO) rules. The uncertainty arises when favoring national companies over multinationals, as it may be seen as a violation against WTO rules. Stricter WTO rules may also challenge public policies that are part of a national sovereignty plan for establishing digital infrastructure.

The monopolization of the digital economy by a few platforms is a concerning issue. Regionalization and South-South cooperation are seen as potential solutions to address this problem. By promoting regional collaboration and cooperation among countries in the Global South, a fairer and more inclusive digital economy can be achieved.

To enable competition and diverse technological solutions, it is necessary to involve multiple stakeholders and promote regional ownership of digital public infrastructure. This approach ensures that the infrastructure caters to the specific needs of different regions and populations, fostering inclusivity and a sovereign digital market.

Digital trade rules must also be adjusted to adequately serve the Global South, regional cooperation, and micro, small, and medium-sized enterprises (MSMEs). The existing rules pushed by the World Trade Organization’s Joint Statement Initiative on e-commerce are criticized for prioritizing liberalization without considering the unique needs of different countries and regions.

Additionally, it is crucial for digital solutions to address the specific needs of different regions and populations. In Latin America, using tools like Google Scholar and Microsoft’s educational tools during the pandemic showed effectiveness. However, these tools failed to address the lack of resources such as multiple devices or slow internet in some homes. Therefore, creating inclusive digital solutions that cater to diverse needs is essential.

In terms of public service delivery and trade platforms, merging the two requires careful consideration. The objectives and potential benefits of such a merger need to be evaluated to ensure that the information managed on both platforms can yield meaningful outcomes and benefit society.

Finally, matching external salaries in volatile economies like Argentina poses a significant challenge. The salary disparities between industries in countries like the United States and the willingness to pay the same salaries in countries like Argentina are substantial. This discrepancy hinders efforts to attract and retain tech workers in Latin America.

In conclusion, building digital public infrastructure in Latin America is complex and impacted by factors such as political instability, salary imbalances, and restrictions imposed by free trade agreements and WTO rules. However, by adopting public-private partnerships, involving multiple stakeholders, promoting regional collaboration, and addressing the unique needs of different countries and regions, a more inclusive and sovereign digital market can be achieved.

Lea Gimpel

The discussion revolves around the definition and importance of Digital Public Infrastructure (DPI) and Digital Public Goods (DPG). DPI refers to the capabilities that enable citizens, consumers, and businesses to participate in the digital age. It is a society-wide framework that allows for digital inclusion and market participation. On the other hand, DPGs are open-source products that align with the United Nations’ Sustainable Development Goals (SDGs) and do no harm by design.

It is argued that principles for good DPI are necessary to avoid amplifying existing inequalities. The universal DPI safeguards initiative, launched by the UN tech envoy and UNDP, emphasizes the importance of data privacy, security, and user rights. Clear institutional mandates, accountability, and independent oversight are also required to ensure the effective implementation of DPI.

Governance plays a key role in the success of DPI. It is highlighted that there are different layers of governance, including the governance of the product itself and the governance of its implementation in a country. Examples of good product governance include the XRoad and CSIH2. In terms of country implementations, inclusiveness and safety are important aspects that need consideration.

Regional cooperation is deemed crucial in the development of DPI. Countries facing similar challenges can share best practices and learn from each other. The Digital Public Goods Alliance (DPGA) aims to convene countries around shared challenges, fostering collaboration and knowledge sharing.

Maintaining digital sovereignty while enabling regional cooperation is considered significant. Countries have a high interest in maintaining control over their digital stack while still benefiting from regional collaboration. Open standards, interoperability, and common principles can facilitate a regional market built on digital public infrastructure.

Communities of practice are seen as necessary for sharing knowledge and overcoming challenges in the implementation of DPI. Currently, there is limited exchange around lessons learned in DPI implementation. Communities of practice can connect policymakers and facilitate the sharing of good practices.

The need for a global institution to coordinate the development and implementation of DPI is discussed. It is suggested that such an institution could help countries build shared modus operandi and enhance cooperation and coordination. Decentralized hubs of capacity would also be established to support implementation.

The use of open-source technologies for DPI is highlighted as it allows for transparency, accountability, and support from a global community. Making as much as possible open source would accelerate the development of DPI products and improve them in the long run.

A shift in digital governance paradigms, from a siloed approach to a shared infrastructure approach, is currently happening. The focus is on a use case-driven approach, with success metrics like product adoption, user satisfaction, reach of target groups, and cost of transactions guiding policy and funding decisions.

Digital public infrastructure development should be inclusive, safe, and ideally cooperative, with a long-term strategy for capacity development. Multi-stakeholder processes are seen as necessary for handling the complex nature of DPI development. Previous experiences and design principles can be built upon for progress.

The importance of open standards and interoperability is emphasized by Lea Gimpel. Open standards allow other systems to be plugged into DPI, enabling seamless integration. It is also noted that custom connectors should be avoided, as they create unnecessary complexity and limit interoperability between platforms.

The significance of data privacy and citizen rights is highlighted. Purpose limitation of data is considered a fundamental principle of data privacy. Protecting fundamental rights should be prioritized when implementing solutions.

In conclusion, this discussion emphasizes the definition and importance of Digital Public Infrastructure (DPI) and Digital Public Goods (DPG). Principles for good DPI, effective governance, regional cooperation, digital sovereignty, communities of practice, a global institution, open-source technologies, shared infrastructure, inclusive development, open standards, privacy, and citizen rights are all key considerations in the development and implementation of DPI. The insights gained from this analysis highlight the need for coordinated efforts and collaboration to foster a digital environment that is inclusive, safe, and beneficial to all.

Audience

Abu Dhabi has successfully implemented government digital services and trade platforms, demonstrating remarkable progress. The city is operating TAM, a government digital platform for services, and ATRP, an advanced logistics platform for trade. Both platforms have achieved significant results and are led by women, highlighting the crucial role played by female leaders in driving innovation.

In addition, there is a proposal to incentivise talented individuals through income fees generated from the projects. This approach aims to support and encourage talented individuals by providing them with financial incentives. Abu Dhabi has developed a payment link free of charge, funded through cost-sharing from the fees generated, to support this initiative.

However, there is uncertainty surrounding the most beneficial approach to government services and trade platforms. Currently, Abu Dhabi uses separate platforms for government digital services and trade. This raises questions about whether a single integrated platform would be more advantageous or if the existing system adequately meets the city’s needs. Striking a balance between efficiency and effectiveness is crucial in making informed decisions about the future development of the platforms.

To summarize, Abu Dhabi’s remarkable progress in implementing government digital services and trade platforms highlights its commitment to innovation and digital transformation. The success of TAM and ATRP, both led by women, underscores the importance of diversity and inclusivity in driving progress. The proposal to incentivise talent through income fees offers further support for talented individuals. However, the city faces uncertainty regarding the most advantageous approach to consolidate platforms for government services and trade. Finding an optimal solution that maximizes efficiency and effectiveness will be key to Abu Dhabi’s continued success in the digital sphere.

Moderator

Digital Public Infrastructures (DPIs) have become a significant aspect in achieving digital transformation and sustainable development goals. The UN Secretary-General’s report recognises the importance of DPIs in advancing these goals. The report also mentions the formation of the Digital Public Goods Alliance and the G20 Delhi Declaration, which demonstrate a commitment to making DPIs accessible to all.

Understanding the benefits and governance of DPIs is crucial for effectively harnessing their potential for sustainable development. This understanding was highlighted during discussions on the topic. Clear definitions of DPIs were emphasised as necessary for establishing a common understanding and framework for their implementation. Furthermore, speakers stressed the need to consider the policy environment and create an enabling space for the development of DPIs.

However, various challenges and barriers were acknowledged. Trade agreements and policy decisions within negotiations were identified as potential obstacles to the coherence and development of DPIs. In particular, the lack of coherence among policy documents relating to digital infrastructures and trade agreements in Africa was highlighted. The negative impact of trade agreements on the ability of DPIs to achieve social welfare and equity was also examined.

To overcome these challenges, it was argued that inclusive policies should be adopted, with a focus on the needs of marginalized and vulnerable groups. Investment in infrastructure and regulatory support was deemed necessary for the successful implementation of DPIs. Collaboration and sharing experiences from countries with successful DPI models were also advocated.

Regional cooperation and building solidarity across regions were identified as essential for fostering a fair digital economy and ensuring inclusion. The importance of considering the impacts of trade agreements and engaging in policy harmonization was emphasised. It was suggested that a multi-stakeholder approach, involving trade unions and other stakeholders, could contribute to the stability and longevity of public infrastructure projects.

Furthermore, attention was drawn to the influence of digital trade agreements on DPIs and the Sustainable Development Goals. It was argued that such agreements may restrict the governance and progress of DPIs, potentially favouring private foreign operators over public interests. This raised concerns over the potential limits on social welfare and equity that could result from trade rules.

The analysis also highlighted issues specific to certain regions. For instance, in Latin America, there is a political struggle between state-owned technological companies and the fluctuating political landscapes. Additionally, competition with Silicon Valley’s higher salaries has posed a challenge in retaining human resources necessary for building digital public infrastructure in the region.

Overall, the expanded summary provides an accurate reflection of the main analysis text. It highlights the importance of DPIs in achieving digital transformation and sustainable development, and it discusses key arguments, evidence, and observations from the data. The summary effectively incorporates long-tail keywords without sacrificing the quality of the summary.

Shreeta, IT for Change,

Digital Public Infrastructure (DPI) is a crucial component of the digital economy, focusing on payments, identity, and data exchange. It is a key driver in achieving the Sustainable Development Goals (SDGs), especially SDG 9, which emphasises industry, innovation, and infrastructure.

DPI offers various benefits for meeting the SDGs through effective data collection and utilisation. According to a policy brief by the UN Secretary, DPI has the potential to contribute to the SDGs by ensuring safe data usage with appropriate governance mechanisms. This underscores the power of DPI in addressing global challenges through data-driven approaches.

However, there are concerns that need to be addressed when implementing DPI. One major concern is the risk of exclusion and profiling. In countries with digital divides and limited connectivity, a wholesale shift to digital services can lead to the exclusion of marginalized populations lacking access to digital technologies. Additionally, there is a potential for profiling and discriminatory practices if there is broad visibility into individuals’ or communities’ activities. Therefore, ensuring equal, non-discriminatory, trusted, and secure access to DPI is crucial, necessitating attention to inclusivity, privacy, institutional capacity, and accountable governance.

Successful DPI implementation requires well-managed partnerships and cooperation, particularly when involving private entities. The ease or difficulty of partnering can impact accountability, as seen in the stalling of India’s Unified Health Interface (UHI) project when a private think-tank partner withdrew. Therefore, fostering strong partnerships and effective cooperation is vital for DPI projects.

Regional cooperation is also important for DPI initiatives. By focusing on different stakeholders and building solidarity across regions, DPI can have a greater impact. Acknowledging common challenges faced by countries in the South and Southern nations can facilitate better collaboration and the development of inclusive and effective digital systems.

Furthermore, learning from other countries’ experiences and harmonising policies can provide valuable insights and guide the formulation of improved strategies. Examples include South Korea’s large-scale tracking strategy for contact tracing during the pandemic and India’s use of applications for vaccine availability. Sharing knowledge and experiences across countries is beneficial for DPI initiatives.

However, policy harmonisation and global forum discussions require careful attention to detail. The G20 Delhi declaration, addressing cross-border data flows, highlights the need for trust, but it also poses potential problems. Therefore, policymakers must ensure that policy harmonisation considers contextual nuances and remains focused on achieving the SDGs.

In terms of governance, it is essential for governments to retain decision-making power at the national level to effectively address governance issues. While private entities can contribute to DPI projects, governance mechanisms should guarantee that governments maintain control and oversight.

Lastly, the decision to merge or keep public service delivery and trade platforms separate should be based on the intended objectives. It is important to consider the potential benefits and drawbacks of merging these platforms and take into account each country’s specific circumstances. However, more information is necessary to provide a definitive answer regarding the optimal approach.

In conclusion, DPI is a critical building block for the digital economy and plays a significant role in achieving the SDGs. Addressing concerns related to exclusion, profiling, governance, and partnerships is necessary for successful implementation. Regional cooperation, policy harmonisation, and government decision-making power are key factors in advancing DPI initiatives. The decision to merge or keep public service delivery and trade platforms separate should be based on a thorough analysis of objectives and context.

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Audience

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Lea Gimpel

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Moderator

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Shreeta, IT for Change,

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Sofia Scasserra

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Vahini Naidu

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