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Hany Besada

November 8th, 2024

South-South cooperation can power the Global South’s digital future

0 comments | 1 shares

Estimated reading time: 5 minutes

Hany Besada

November 8th, 2024

South-South cooperation can power the Global South’s digital future

0 comments | 1 shares

Estimated reading time: 5 minutes

Digital transformation offers unprecedented opportunities for developing economies, yet it also threatens to deepen existing inequalities. South-South and Triangular Cooperation holds the key to overcoming these challenges, enabling digital inclusion and sustainable development across the Global South, writes Hany Besada.

Digital technologies are revolutionising economies worldwide, but their benefits are not equally distributed. In the Global South, particularly in Africa, access to the internet and digital resources remains limited, creating a digital divide that exacerbates inequalities in education, employment, and access to services. Bridging this gap is critical for achieving sustainable development goals (SDGs) and enabling marginalised communities to thrive in an increasingly digital world.

South-South and Triangular Cooperation (SSTC) offers a collaborative approach to tackling this digital divide. South-South Cooperation is a partnership model between two or more Southern countries that facilitates the sharing of resources, technology, and knowledge to tackle common development challenges. The Triangular element builds on the South-South Cooperation by bringing in a Northern country or an international organisation to support partnerships between Southern countries. By fostering partnerships among developing countries and bringing in support from the Global North, SSTC enables knowledge sharing, capacity building, and investment in digital infrastructure.

A barrier to inclusive development

The internet has become a critical resource for education, commerce, and governance, but large swathes of the world remain disconnected. The United Nations estimates that 2.9 billion people are still offline, with most of them in developing countries​. Even among those who are connected, the quality and affordability of access vary significantly. In many least developed countries, the cost of basic internet services remains prohibitively high. In some instances, the price of 5 GB of fixed broadband exceeds 20 per cent of the average monthly income.

This digital inequality has far-reaching implications. It prevents people from accessing essential services, participating in the digital economy, and contributing to innovation. For marginalised groups—such as women, rural populations, and people with disabilities—these barriers are even more pronounced. In Africa, women are 20–50 per cent less likely than men to use the internet​. Without concerted efforts to bridge the digital divide, these inequalities will continue to grow, leaving the Global South further behind in the digital age.

Policy and institutional gaps

Despite the progress made through SSTC, significant challenges remain. Many countries in the Global South lack the institutional capacity and regulatory frameworks needed to support digital innovation and protect users’ rights. In particular, the absence of strong data protection and privacy laws poses a serious risk to vulnerable populations.

Only 48 per cent of LDCs have implemented data protection legislation, compared to 74 per cent of countries in the Americas​. Without strong data protection laws, personal data can be collected, processed, and even sold without users’ consent or knowledge. Secondly, weak or non-existent data protection makes countries more susceptible to cyberattacks, as unregulated digital environments provide easy targets for cybercriminals. This could lead to breaches of sensitive information, such as health or financial data, causing both economic and social harm.

Thirdly, when users perceive digital platforms as insecure or open to misuse, they are less likely to engage in online activities, hindering the growth of digital economies in developing countries. Lastly, international businesses and organizations often require strong data protection as a prerequisite for investment. Countries lacking these frameworks may find it harder to attract foreign investment and partnerships, further limiting their digital growth and integration into the global digital economy.

The digital divide is not just a question of access but also of digital literacy. Many people in the Global South, even when they have access to the internet, lack the skills to effectively use digital technologies. This is especially true in rural areas, where educational opportunities are limited, and in marginalised communities, where digital inclusion initiatives often fail to reach.

Addressing these challenges requires a comprehensive approach that includes policy development, capacity building, and investment in digital infrastructure. Governments, international organisations, and the private sector must work together to create the conditions for inclusive digital growth.

A platform for digital transformation

South-South and Triangular Cooperation has already made significant strides in promoting digital inclusion. Through initiatives like the Aspire to Innovate (a2i) programme in Bangladesh, SSTC has enabled the establishment of digital centres that provide marginalised populations with access to information and services, regardless of their ICT literacy levels. These centres have been replicated in countries such as the Maldives, Bhutan, and Fiji, showcasing the potential of SSTC to scale successful digital initiatives across regions.

In addition to expanding access to digital infrastructure, SSTC also facilitates the sharing of knowledge and expertise on digital governance. For instance, India’s success in digital financial services has inspired African countries to explore similar models, helping to build inclusive financial systems without the need for extensive new infrastructure​. These collaborations underscore the value of SSTC as a modality for accelerating digital transformation in the Global South.

Policy recommendations

To fully realise the potential of SSTC in driving digital transformation, several policy measures are necessary:

Strengthening Institutions for Digital Governance

One of the critical steps is to build strong institutions that can effectively regulate and promote digital development. Governments in the Global South must establish comprehensive frameworks for digital governance, ensuring that data is used responsibly and ensure that privacy and cybersecurity concerns are addressed. This includes adopting high-quality open government data standards and creating mechanisms for monitoring the effectiveness of digital policies​. For example, on Data Protection and Privacy Laws, governments should develop and enforce data protection laws similar to the EU’s General Data Protection Regulation (GDPR) to ensure data privacy and responsible use. For instance, Kenya’s Data Protection Act of 2019 provides a legal framework for the collection, processing, and storage of personal data, setting a model for other countries in the region. These laws should require companies and public entities to obtain user consent, protect personal data, and establish accountability in handling data.

Expanding Access to Digital Financial Services

Digital financial services have the potential to drive financial inclusion and empower marginalised communities. Digital financial services empower marginalized communities by providing accessible, affordable, and secure financial solutions for the unbanked, particularly in remote areas where traditional banks are scarce. To support this, SSTC should focus on developing regulatory environments that allow non-bank actors to operate payment systems, increasing competition and accessibility. At the same time, governments should invest in digital literacy programs to ensure that citizens can take full advantage of these services​.

Investing in Digital Infrastructure

Achieving universal, affordable, and quality internet access will require significant investment in digital infrastructure. But such investments are expensive. SSTC can play a crucial role in mobilising the necessary resources by facilitating partnerships between developing countries and leveraging support from the Global North. These investments should prioritise rural areas and marginalised groups, ensuring that no one is left behind in the digital revolution​.

Promoting Gender-Inclusive Digital Policies

Women in the Global South are disproportionately affected by the digital divide. To address this, governments and SSTC initiatives must adopt gender-responsive policies that actively promote women’s engagement with digital technologies. This includes creating opportunities for women to build digital skills and participate in the digital economy, as well as ensuring that digital infrastructure projects are designed with women’s needs in mind​. Financial incentives aimed at supporting women entrepreneurs in the tech space can further enhance women’s participation in the digital economy. Programs like Nigeria’s Womenpreneur Pitch-a-ton by Access Bank provide women-led small businesses with financial support and business training, enabling them to leverage digital tools effectively and scale their ventures. Such targeted financial assistance not only encourages women’s entrepreneurship but also helps integrate more women into the digital economy.

In addition, digital infrastructure projects should be designed with women’s specific needs in mind, ensuring safety, privacy, and accessibility. In Kenya, Safaricom’s M-Pesa mobile money service has made adaptations to meet female users’ unique requirements, such as enabling secure and private transactions, which is particularly important in conservative communities.

Leveraging Digital Technologies for Sustainable Development

Digitalisation offers unique opportunities to advance the SDGs, particularly in areas such as climate action and poverty reduction. For example, blockchain technology can be used to track carbon emissions and ensure that climate financing reaches local communities​. SSTC can facilitate the transfer of these technologies across the Global South, helping countries to integrate digital solutions into their sustainable development strategies.

Digital transformation is not just a technological issue, it is a social and economic imperative. As the Global South continues to face the challenges of inequality and underdevelopment, SSTC offers a powerful platform for promoting digital inclusion and sustainable growth. By fostering partnerships, sharing knowledge, and mobilising resources, SSTC can help bridge the digital divide and ensure that the benefits of digitalisation are shared by all.

However, achieving this vision will require concerted efforts from governments, international organisations, and the private sector. Strong institutions, inclusive policies, and substantial investments in digital infrastructure are essential to creating a more equitable digital future. With the right support, SSTC can be the catalyst that unlocks the full potential of the digital economy in the Global South.

The is blog is based on the author’s recent Policy Brief


Photo credit: Pexels.

About the author

Hany Besada

Hany Besada

Dr Hany Besada is a Visiting Senior Fellow and the Firoz Lalji Institute for Africa at LSE; a Senior Research Fellow, United Nations University-Institute for Natural Resources in Africa; and Senior Fellow with the Centre for Economic Transformation. He is the author of more than 80 peer-reviewed articles, over 70 opinion pieces and editor/author of 15 books. He holds a PhD in Politics and International Studies from the University of Warwick.

Posted In: Development | Technology

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