The G-20 member countries are committed to establishing a digital economy as an innovative instrument for improving global economic growth, the Chinese Vice Minister of Finance, Zhu Guangyao, said here on Thursday.
“Innovative growth is a main theme and key for the G-20 Summit 2016,” Zhu said after a series at the 11th G-20 Summit.
The vice ministers of finance and the vice governors of central banks of G-20 nations are gathering to formulate recommendations to be proposed at the summit on September 4 and 5, to be held in Hangzhou, Zhejiang province, China.
Minister Zhu said this is the first time that the topic of digital economy development will be discussed to produce a global implementation guidance to support growth, and will be presented for approval at the G-20 Summit.
“The formulation of global digital economy rules should be an inclusive instruction for digital financial implementation. The digital economy has grown rapidly, but the global rules and instructions are just being defined,” he noted.
In an earlier report in 2016, the World Bank said the Internet, cell phones, and other digital technologies have spread rapidly throughout the developing world. However, the benefits in economic growth, employment and public services have still not reached the expectations.
About 60 percent of the worlds population lags behind the digital economy, while it continues to grow.
The digital economy in Indonesia has great potential, but there are still many challenges to getting digital dividends due to lack of infrastructures, skills and regulations.
Google predicts that with the growth of Internet users by 19 percent per year, Indonesia is predicted to become the largest digital economy country in Southeast Asia.
Indonesia has one of the fastest Internet user population growth in the world at 19 percent a year, and is projected to reach 215 million users by 2020, from only 92 million in 2015.
In addition to the digital economy, the 11th G-20 Summit will also strengthen economic structural reform, especially global trade and investment.
The Group of 20, which represents two-thirds of the world population, produces 85 percent of the worlds gross domestic product (GDP) and 75 percent of trade.
Indonesia has been a member of the G-20 since 2009 and has never missed the annual forum.
The G-20 Summit 2016 is based on the theme, “Towards an Innovative, Invigorated, Interconnected, and Inclusive and Interconnected Development.”
Source: Antara News