ICT Influence on Economic Growth of Low-Income Countries with the Participation of HICs

Abstract

In this study, the effects of information and communication technology (ICT) on economic growth (EG) in low and high-income nations (LICs & HICs) are investigated. Using a comprehensive dataset spanning 2000–2019, including 30 LICs and 82 HICs, we employed regression models (OLS, FER, and system GMM) to analyze this relationship. Secure internet servers, individual internet users, fixed broadband subscriptions, and fixed telephone subscriptions are taken into the account of ICT indicators. Our findings demonstrate a positive association between ICT and EG for both LICs and HICs. This study focuses attention on the need for policymakers to bridge the "digital divide" and enhance access to ICT, particularly LICs, to leverage the potential of these technologies for sustainable economic development. This study provides insights for stakeholders’ interested in harnessing the transformative power of technology.