Emerging economies in Asia are being spurred on by digital
According to a new report by Deloitte, emerging economies in Asia are being transformed by quick adoption of digital technologies amongst the population. China now has the world’s largest Ecommerce market, with Singapore and other Asian countries have been outcompeting to attract skilled workers and construct high-tech hubs. Low income Asian countries, like the Philippines and Indonesia, have rushed to adopt the latest tech, against expectations given their low income levels. This mass digitization is changing the continent, and has huge economic ramifications.
India now has more Facebook users than the U.S., and digital transactions jumped 59% in March from December last year – the first month after the government announced its demonitization plan. With governmental pressure to take spending digital, the country’s economy is transforming at unprecedented rates.
Meanwhile, Indonesians have an average of 1.3 mobile phones each, with most internet users in the country preferring mobile access to desktop. This bodes well for digital interactivity, Ecommerce, and government services. It also bodes well for Twitter, which now has more Indonesians than it does Britons on its platform.
Nonetheless, the potential for Ecommerce on the continent will advance alongside digital banking penetration, which remains highly unequal.
“Asia has become the center of global economic growth and by embracing digital, it will continue to lead global economic growth over the coming decade.”
Dominion holds a number of Technology and Ecommerce companies with exposure to Asia in its Global Trends Managed Fund.
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