Tuesday, December 24, 2024 | Jumada al-akhirah 22, 1446 H
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EDITOR IN CHIEF- ABDULLAH BIN SALIM AL SHUEILI

The hidden cost of digitalization on the environment

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Oman is keeping pace with global developments in digital transformation across various institutions to drive economic growth and provide job opportunities in this vital sector. International organizations emphasize the necessity of adopting digitalization while also highlighting the adverse environmental impacts of digital devices, primarily in the form of electronic waste. The United Nations Conference on Trade and Development (UNCTAD) recently warned about the impact digitalization has on institutions, individuals, and life in general. The organization's latest report for 2024 indicates that developing countries bear significant environmental impacts from the global digital sector and face a disproportionate burden due to their use of these technologies. Nevertheless, it stresses that these countries can benefit from digital transformation to promote development.


Digital transformation in the Omani economy is evident in several government institutions, but paperwork is still being done by clients and auditors in many institutions providing services to citizens. The Sultanate of Oman is focusing on digital transformation plans, utilizing numerous digital platforms and applications to facilitate service provision and work completion in areas such as traffic, civil status services, electronic visas, the educational portal, the unified national platform for employment, the electronic Hajj system, and other services in housing, health, education, transportation, banking, and financial matters, as well as buying and selling through commercial centers and shops.


Every year, Oman achieves new levels in the digitalization of service sectors through its adoption of the Digital Oman Strategy, which aims to activate information and communications technology in various government and private services to enrich the business sector and build knowledge-based industries, leading to new and diverse job opportunities for citizens.


The Omani government has approved significant allocations to support the implementation of the government digital transformation program during 2023 and 2024. The executive plan for the government digital transformation programme during the tenth five-year plan (2021-2025) includes investments totaling about RO 170 million. These funds will improve procedures, re-engineer government services and technologies, enhance digital infrastructure, and empower national competencies through education, qualification, and training for new skills.


The concerned institutions are continuing to find channels and tools to make optimal use of rapid technological changes, support innovations and productivity, strengthen national capabilities, and increase qualitative investments that add value to the Omani economy. With these developments, the levels of the e-government services index and the business and digital innovation index are rising. The future vision of Oman 2040 aims to raise Oman’s ranking to be among the top 20 countries in the world in the development of e-services.


However, there are negative effects of these technologies in many developing countries. It is crucial to maximize opportunities to benefit from the raw materials used in digital technologies, through local processing and manufacturing, to enhance financial revenues, secure a greater share of the global digital economy, create job opportunities, and raise the living standards of citizens.


Haider Al Lawati


The author is a Muscat-based economic analyst who previously worked for CBO and OCCI.


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