Mobile communication impact on growth
Information and communications technologies have radically changed our lives and offered us new ways to communicate and interact. These technologies have a massive impact on processes efficiency and on the way in which we work together.
OECD study carried out in 2008* calculated the importance of information and communications technologies (ICT) on growth and productivity, and concluded that this industry’s contribution to total annual GDP (Gross Domestic Products) growth is between 0.3 and 0.8%.
There are several other recognized studies that directly correlate increase usage and penetration (so called “teledensity”) of mobile communication with positive impact on GDP development. The Centre for Economic Policy Research (CEPR) estimates that a 10% increase in mobile phone penetration leads to additional economic growth of 0.59%. Vodafone reported in 2005 that an increase of 10 mobile phones per 100 people in a typical developing country boosts GDP growth by 6%!
There is no dough that ICT business has positive effects on increasing productivity, economic welfare, education and health care improvement, disaster relief and improving living conditions in rural areas and low-income groups. It becomes even more important during hard times and economic downturns.
* The OECD in Facts and Figures 2008, 2008.