As digital trade is transforming the economies of the countries around the globe, swift move to facilitate policies and infrastructures for digital trade is giving many countries a head start in the 4th industrial revolution.
In this article we will look into seven countries that started to benefit from digital trade and will see significant growth by 2030.
China
Digital trade could grow up to 5.5 trillion dollars for China which was 466 billion dollars in 2017. Radical decisions and bold trade policies in both domestic and international arenas enabled this extraordinary potential. The ambitious digital Yuan project can radically change how we think of global currency today. Unlike bitcoin and other cryptocurrencies, digital Yuan is a digital wallet controlled by China's Bank. However, the country is in the top position of the Digital Trade Restrictiveness Index which may restrict the growth to the full potential.
Australia
Australia’s digital trade will see a five fold growth, reaching almost 200 billion dollars by 2030. The number was 43 billion in 2017. In Australia digital trade means the trade of goods and services in the domestic and international arena. The digitalization in distribution, marketing and service enables this high growth.
India
In 2018, the size of India’s trade enabled economy was 35 billion dollars. By 2030, experts predict the size of the digital trade enabled economy to be 512 billion dollars. The statistics may seem extraordinary but given the possibility and size of the population it is a very achievable goal for India. Its cross-border bandwidth usage has grown 45 times since 2005 and will grow another nine folds in the next five years. The country holds the potential to dominate the regional digital trade economy.
Malaysia
Malaysia has witnessed exemplary growth in the digital economy. The digital trade economy contributes to over 18% of the country's GDP. The country has been pro-actively facilitating research and technology support to the companies in order to achieve the national goal of digital agenda and digital trade plays the central role in the process. It is predicted that by 2030 Malaysia’s digital export has the potential grow up to three folds and bring the country 28.5 billion dollars.
Philippines
The transforming economy of the Philippines is poised to yield high growth in digital trade by 2030. In 2018 the digital trade enabled economy was estimated to be 3.2 billion dollars and the number is expected to grow over 10 folds by 2030. Experts predict that the size of the digital trade enabled economy of the country will be 37 billion dollars. Thanks to the internet penetration and Philippine population’s addiction to screens, the country made it to the number one spot in the internet users in the world. Now the country is focusing on finding ways to transform this internet consumption trend into MSME operation efficiency and growth.
Vietnam
Digital trade enabled economy of Vietnam stands at 3.5 billion now, but it's projected that by 2030 it will reach 42 billion dollar, a booming 12 times growth forecast. The country's economy is heavily depended on trade. Much like Bangladesh the country is currently dependent on a small number of trade destinations and hence digital trade is imperative for Vietnam as it will diversify and increase the export base exponentially. To ensure digital growth, Vietnam has enabled made internet accessible and affordable to the mass population. However, strict registration policies somewhat restrict the growth of the digital trade in the country.
The predictions of these seven countries prove that digitally enabled trade is going to grow exponentially in the next decade and will dominate world economy in the years after. With high penetration of the internet and smartphone, we believe Bangladesh has the potential for exponential growth as well. However, we need to establish infrastructures which enable and encourage digital trade. It is understandable that the demand for digital products and services will only grow but we should digitalize our stronger suits like the manufacturing industry. Enabling digital trade in existing manufacturing sectors will increase the operation efficiency which will attract more investments in the sector.
