World Bank envisions digital miracle for MENA

World Bank envisions digital miracle for MENA

A new report on the digital upside of MENA countries states that over the long run of more than the coming 20 years, “the socioeconomic upside of digitalizing the economy of countries in the Middle East and North Africa (and other low- and middle-income economies) is probably huge.

GDP per capita could rise by more than 40 percent, manufacturing revenues per unit of factors of production could rise by 37 percent, employment in manufacturing could rise by 7 percent, and tourist arrivals could rise by 70 percent, creating jobs in the hospitality sector. Long-term unemployment rates could fall to negligible levels, and female labor force participation could double to more than 40 percent (emphases added).”

Christina Wood is a senior economist in the World Bank’s Office of the Chief Economist for the Middle East and North Africa. As one of the report’s authors, she agreed to answer our questions in an electronically conducted interview.

In you research of the digital upside in MENA countries, you have diagnosed what you called a digital paradox that consists of a relative to GDP per capita, high usage of social media accounts versus a low use of digital tools to conduct payments. As you flagged this significant