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Introduction

ICT diffusion

E-Readiness

Economic Impactp

Social Impact

Political Impact

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According to the International Organization ITU, enhancing theSocio Economic Impact of ICTs is an efficient catalyst to fasterfacing the developmental challengesfacing the developmental challenges.

ITU defines the Socio-Economic Impact of Information andCommunication Technologies (ICTs) to be including:

ICT Diffusion Economic Growth Industries Competitiveness

Human Development

ITU has relied on the literature done to elaborate the positivecorrelation between ICTs and Socio-Economic development, andconcluded from this review the existence of ICT impact onproductivity, cost effectiveness, economic growth, povertyreduction and overall development.

The OECD has also been keen to measure the economicand social impacts of the Information and CommunicationTechnologies (ICTs). The OECD has conducted more than astudy for this purpose.

OECD measures the social Impact of Information andCommunication Technologies (ICTs) through the following*:

WorkHousehold expenditur

e

Time use Crime Health

*) According to the OECD Study “Measuring the Impacts of ICT Using Official Statistics”, prepared on the 4th ofJanuary 2008.

Education and

training

Social capital

Digital Divide (Indirect Impact)

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The OECD study has proposed possible areas for future work on themeasures of social impacts as follows:

Standardization of time use and household expenditure surveyth d l i d l ifi ti i th f ICT tmethodologies and classifications in the area of ICT measurement.

Standardization of “e-crime” statistics.Collection of statistics on “teleworking” and other changes in workpatterns which are driven by ICT.

On the other hand, the OECD measures the economic impacts of ICTsthrough the following:

ICT Investment

Production of ICT goods

and servicesICT use Sectoral

studiesFirm- level

studies

ICT Diffusion

E- Readiness

ICT S i E i I tICTs Socio – Economic Impact

Social Impact

• ICT promoting learning

• ICT promoting learning

Economic Impact

• Advancing Economic Growth

• Advancing Economic Growth

Political Impact

• Spreading Political Awareness

• Spreading Political Awarenesslearning

• ICT improving health service

• Increasing Efficiency at Work

learning

• ICT improving health service

• Increasing Efficiency at Work

Economic Growth

• Reducing Poverty

• Rural Development

Economic Growth

• Reducing Poverty

• Rural Development

Awareness

• Sharing in Social networks (facebookand twitter)

Awareness

• Sharing in Social networks (facebookand twitter)

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The diffusion of Information and CommunicationTechnologies (ICTs) is an important driver forTechnologies (ICTs) is an important driver foreconomic development and overall social welfare.

ICTs are widely used among different social groups

Gender

Educational levels Age Work status

Geographical areas

49.636.1

93.5

40

60

80

100

ICT Usage – by Household - 201293.5% of households use

Mobiles.

Almost half of households C t

ICT diffusion – by gender150

0

20

computer usage

internet usage

mobile usage

use Computers.

36% of households use Internet.

36.3 32.327.7 24.9

74.9 73.2

0

50

100

male female

%

computer usage internet usage mobile usage

Source: Household Survey 2012

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ICT diffusion - by educational level ICT diffusion -by geographic areas

82.274.2

70.0

77.1

80

100

120

140

160

180

%

70 1 71 2 70 1 82 8 100.07 3

65.5 68.1 62.280.9

100.0

8 4 3.7

19.385.8 97.4

99.7100.0

50

100

150

200

250

300

350

ICT diffusion – by age ICT diffusion – by work status

41.4 38.3 25.945.9

34.8 28.419.4

36.5

0

20

40

60

urban lower upper border

94 2200

250

97.7 94.358 3100

120140160180

15.9 35.1 70.1 71.2 70.1 82.812.1 7.38.4 3.7

0

computer usage internet usage mobile usage

43.0 49.9 25.6 1.5

24.147.9

20.0 1.1

8.4

94.2

96.0 71.1

0

50

100

150

Less than 15 years

15 - 24 years

25 - 74 years

Over 75 years

%

computer usage internet usage mobile usage

37.6 20.5 38.7 37.42.8

30.815.6

34.9 27.2

2.2

96.9 58.3

75.9

020406080

%

computer usage internet usage mobile usage

Source: Household Survey 2012

Males use ICTs more than females, especially inComputer (36%), Internet (28%) and Mobile usage(75%).

The higher the educational level, the more the ICTsusage, as all postgraduates (100%) use all ICTs morethan any other educational level.

Urban and border areas use ICTs more.

Individuals at the age of 15- 24 years old use ICTs themost (94% mobile usage and almost 50% computer andInternet usage) while individuals over the age of 75Internet usage), while individuals over the age of 75years old use mobiles the most (96%).

Unemployed individuals use ICTs the most, (94% mobileusage and 39% computer usage and 35% Internetusage), as they include students, housewives and retiredpeople.

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E-Readiness is the ability to access and use Informationand Communication Technologies (ICTs) to develop one'sg ( ) peconomy and to foster one's welfare.

Accessibility

• Mobile Penetration

Usage

• By Households• By Enterprises• By Government

• Internet Penetration

• Broadband Penetration

• By Government entities

• By Hospitals• By Educational

institutions• By IT clubs

Accessibility

96 8120

Number of Users - Mil.

117150

Penetration Rates

96.8

32.6 29.6

020406080

100

Mobile Internet Broadband

117

39.4 35.7

0

50

100

Mobile Internet Broadband

The Accessibility of ICT infrastructure is measuredsignificantly by the penetration rate of ICTs. For the year2012, Mobile penetration rate has hiked to reach117, while that of the internet reached 39.4 And that ofthe broadband reached 35.7

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Usage of E- Readiness is represented by the

Usage

digital access among different socialstakeholders

Enterprises Households IT Clubs

Government entities

Educational institutions

Hospitals

ICTs usage – by Households

ICTs usage - by Enterprises

49.636.1

93.5

20406080

100 68.9

46.337.9

20

40

60

80

ICTs usage – by Government entities

ICTs usage – by Hospitals(Public/Private/Educational)

020

computer usage

internet usage mobile usage

0

20

computer usage

internet usage mobile usage

100120

79.5100

0082.4

38.9

0

20

40

60

80

100

computer usage

internet usage mobile usage

79.5

42.450.9

0

20

40

60

80

computer usage

internet usage mobile usage

Source: Private Sector Survey 2012

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ICTs usage – by SchoolsPublic/Private/Azhari

ICTs usage - by Universities

97.7

66.6

87.7

40

60

80

100

120 100

91.6

99 100

86889092949698

100102

ICTs usage – by IT Houses

0

20

40

computer usage

internet usage

Fixed phone usage

86

computer usage

laptop usage

internet usage

Fixed phone usage

93.995

87.9

81.8

75

80

85

90

internet usage training course updating the computers

In general ICT usage has spread among thedifferent entities.Households show very high usage of mobilereflecting their dependency on it to a great

t textent.Enterprises on the other hand show relativelyhigh usage of computers in their work place.While Government entities are fully dependenton computers , they also show very high usageof Internet.Hospitals depend on computers but showmodest Internet usagemodest Internet usage.Schools and Universities are among the veryheavy users of Computers and Internet.IT houses proved successful tools in spreadingInternet usage and ICT awareness.

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Advancing Economic GrowthEconomic growth and ICT diffusion have a mutualcausality relationship, as ICT diffusion helps in advancingeconomic growth, and in the same time higher economicgrowth promotes more and more ICT diffusion.

Economic growth

ICT diffusion

17

18.5

1717.5

1818.5

19

ICT Revenues (Billion LE)

1616.4 16.2 16.2

14.515

15.516

16.517

Q1 2011/12 Q2 2011/12 Q3 2011/12 Q4 2011/12 Q1 2012/13 Q2 2012/13

ICT t t 18 6 LE billi d i th dICT sector generate 18.6 LE billion during the secondquarter 2012/2013 (October – December 2012) rising from16 LE billion , with a 3% average growth rate. 78% of theICT revenues of this quarter are generated fromcommunication sector, while only 19% are generated fromIT sector.

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ICT GDP growth rate compared to other sectors

ICT GDP growth rate compared to national GDP

7 2

14.5 14.613.3

1012141611.47

6.65

4 46 4 276

8

10

12

14

ICT t h th d B f th 25th J

7.2

4.7 5.1

1.9 2.2

6.7 6

02468

2007/20082008/20092009/20102010/20112011/2012

National GDP Growth rate

ICT GDP growth rate

4.46 4.27 3.68

0

2

4

6

ICT sector has the secondhighest growth rate among thefastest growing economic sectorswith growth rate of 6.65%, coming after the Suez canalwith 11.47%, during thefinancial year 2010/2011.

Before the 25th Januaryrevolution, ICT sector was achievingaverage growth rate of 14%. Afterthe revolution, the overall economyfell down dramatically pulling theICT sector to grow cautiously withaverage rate of 6%.

ICTs enhance users skills and qualifications, which helpthem in acquiring job opportunities. This is the maindirect role of ICTs in improving people’s wellbeing and

Poverty Reduction

67%

40%

11%20%30%40%50%60%70%80%

Around two-thirds of IT Clubs in Egypt provide ICDL training

direct role of ICTs in improving people s wellbeing andreducing the overall poverty.

11%

0%10%20%

ICDL Advanced Computer Courses

Language Cources

gcourses during 2011, while 40% provide advanced computer courses.

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46%

72% 73%

60%70%80%

2010 2011

Area of benefits from ICT services provided by IT clubs

14% 11%

46%

17%

3%

16% 11%

43%

16%4%

0%10%20%30%40%50%60%

Using e-government

services

Conducting governmental transactions

over the internet

Getting the ICDL

Gaining high skills in

computer and internet usage

Aqcuiring a better job

opportunity

Others

internet

Gaining high skills in computer and internet usage wasthe most beneficial purpose from visiting IT clubs for73% of the visitors, while getting the ICDL was a secondpriority of the overall areas of benefits that attracted 43%of visitors.

ICTs play an important role in developingcountries, particularly in the rural areas that arecurrently least affected by the ‘digital revolution’.ICTs help in minimizing the disparities of the digital

Rural Development

ICTs help in minimizing the disparities of the digitaldivide between rural and urban areas.

2012 • 70% of the ruralhousehold usemobiles, compared to79% in urban areas.

• 21% of the rural150

200computer usage internet usage

household useinternet, compared to33% in urban areas.

• Finally, 29% ofhousehold areas usecomputers, comparedto 41% in urban areas.

41.1 29.2

33.620.8

79.1

70.3

0

50

100

urban rural

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ICTs social impact is reflected through its role in:

Increasing the efficiency of work and facilitatingthe business process.

Promoting learning through affecting botht h d t d t f

role in:

teachers and students performances.

Improving the health services through enhancingthe quality of health services offered to people.

68.9

46.362.1

40608069% of Private

enterprises uset 62%

Increasing Efficiency at work

020

Computer usage

Internet usage

Mobile usage

computers, 62% usemobiles , while 46%of the enterprises useinternet.

9.5

15.0

10121416ICTs help to improve

efficiency of enterprisesth h f ilit ti 7.8

02468

10

using e-commerce using e-banking

through facilitatingbusiness process by usingeither e-banking, e-commerce and e-government services.

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Around 16% of the private enterprises undertake R&Dprojects, which improve the efficiency of work, throughhelping enterprises to penetrate new markets increase

R&D increase Efficiency at Work

helping enterprises to penetrate new markets, increasesales, improve product quality, reduce productioncosts and minimize environment effect.

3.2

1.6

reduce production costs

minimize environmemtal effect

6.3

6.7

7.6

0 2 4 6 8 10

penetrating new markets

increase sales

improve product quality

Almost all schools and universities usecomputers and fixed phones and 91% of theuniversities use laptops On the other

Promoting Learning

ICTs usage by SchoolsICTs usage by

Universities

97.787 7100

120 100 99 100

98100102

universities use laptops . On the otherhand, internet usage in schools is less thanuniversities.

66.6

87.7

0

20

40

60

80

100

computer usage

internet usage

Fixed phone usage

91.6

86889092949698

computer usage

laptop usage

internet usage

Fixed phone usage

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ICTs Impact on Students

44%Facilitating materials' delivery

64%

62%

0% 10% 20% 30% 40% 50% 60% 70%

Stimulating student's information and knowledge

Makes materials more interesting

Using ICT services in the educational process proved tobe stimulating information and knowledge for studentswhich came as number one benefit with the biggestweight, followed by helping in making the academicmaterials more interesting.

11%No change

ICTs Impact on Teachers

69%

63%

0% 20% 40% 60% 80%

Makes the materials more interesting

Clarifies materials' contents

0% 20% 40% 60% 80%

Using ICT services helped the teachers to present the academic materials in more interesting ways as a top benefit, followed by helping them to clarify more the materials content.

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ICT usage by different kinds of hospitals improve thequality of health services offered to people.

Improving Health Services

Hospitals internet usage according to hospital type

70.3%

57.4%

50%

60%

70%

80%In year 2011, 70% ofeducational hospitalsused the Internet. This

33.2%

0%

10%

20%

30%

40%

Educational Governmental Private

proportion was thehighest among othertypes of hospitals(57% for publichospitals and 33% forprivate ones).

48.848.6

40.245.1

Following up the vital records of patientsAnalyzing patients medical information

Mapping diseasesStatistical analysis to patients numbers

ICT impact on Hospitals

60 159.260.6

56.856.6

59.656.858.6

50.4

Better communication between hospital Improving nurs and technical efficincies

Improving medical R&D opportunitiesBetter manging of large number of patients

Better prepartions in emergency casesQuicker preparation of operational rooms

Better reaching to blood and medical …Better emergency responses

Manging patients recordsg p p

58.164.5

57.265.3

83.260.1

0 10 20 30 40 50 60 70 80 90

Accuracy of diseases diagnosesDeveloping skills of medical staff

More efficient interaction between …Improving hospital mangment

Updating the medical staff by the latest …Better communication between hospital …

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During the last 2 years Egypt has experiencedg y gyp pdrastic political changes that affected greatly allaspects of life, including ICTs usage.

After 25th of January 2011 revolution, ICTs role inpolitical life has been highlighted, throughhelping to spread political awareness amonghelping to spread political awareness amongdifferent social groups especially throughmobiles and smart phones, or sharing politicalopinions and policy criticism on socialnetworks, such as facebook and twitter.

F b k T i

Social networking played a significant role in political life in Egypt, especially Facebook and twitter.

Social Networks

Facebook Twitter

4.2

9.4

12.47

02468

101214

mil

lion

use

rs

19.3

129

215

50

100

150

200

250

hou

san

d u

sers

0

2010 2011 20120

2010 2011 2012

Th

Facebook users have dramaticallyincreased to reach 12.47 millionuser in year 2012 rising from 4.2million in year 2010.

Twitter users has increasedenormously during the year 2012to reach 215 thousand users risingfrom 19 thousand in year 2010.

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Mobiles played an important role in the Egyptian politicallife, especially during the 25 January 2011 revolution.

Spreading Political Awareness

YES, 57%

NO, 43%

Use smart phone to share in political life

YES, 57%

57% of the smart phone usersdeclare that they use their devices toshare in the political life.

64

Fields of Smart Phone sharing in Political Life

38.5

15

updated by news highlightsshare in social networkshelps in election process

64% of the smart phone users reveal that they usetheir devices in sharing in political life through beingupdated by new highlights, and more than 38% usethem in social networking.

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