
Mexico’s image tends to receive negative portrayal in news reports depicting violence and crime. However, advancements of technology in Mexico provide an alternate image of the country as a pioneer in the Latin American technological scene. Here are five key facts that represent the country’s incredible achievements.
Guadalajara is a Growing Tech Hub
Located in Jalisco, Guadalajara presents itself as Mexico’s own Silicon Valley due to its massive community of 600 tech companies, 35 design centers and four research centers. With this cluster of tech companies, Jaslico exports more than $148 billion tech products to global consumers.
Guadalajara houses 13 universities such as Tecnologico de Monterrey, which graduates 85,000 students in IT yearly. This is especially notable considering that the city has 78,000 employed IT professionals, 57 percent of whom come from Guadalajara, presenting an excellent investment into the growth of the Mexican IT community for a sustainable tech hub.
Technological Outsourcing and Nearshoring Favors Mexico’s Location
Up until the 1990s, outsourcing in Mexico existed mostly in manufacturing capacities, such as Ford manufacturing at the south of the border. Now, thanks to the startup movement in the 2010s, Mexico is also an outsourcing hub for nearshoring. This is the process of conducting business operations in a nearby country that shares the same time zone. This results in convenience, consistency and better collaboration. For example, border neighbors such as the U.S. and Mexico adopt this relationship in software development companies such as ITexico, which have relationships with U.S. clients such as McDonalds and IBM. With low labor costs and a thriving technological community, companies such as ITexico with revenues of $5 million view Mexico as a great source of outsourced nearshoring.
Technology in Mexico Receives Vast Amounts of Venture Capitalist Investments Yearly
From 2014-2016, the U.S. invested nearly $120 million into 300 Guadalajara startups. In 2017, out of all Latin American countries, Mexico received one-quarter of total investment at $80 million in funding for 59 venture deals. Viewing investments from a grander scale, nearly 1,900 venture capitalists received $22 billion in investments between 2010 and 2018.
Investments per company vary between $80,000 – $120,000. Companies such as Voxfeed provide investors with a great return on investment considering its $2 million in revenue.
Such financial growth benefits the Mexican economy as it is currently the world’s 11th largest economy. It has the potential to gain $245 billion GDP by 2025, and the possibility of being the world’s largest economy by 2050.
Fintech Growth in Mexico Surpasses Other Latin American Countries
In 2017, Mexico led Latin America with the growth of 80 Fintech companies in 10 months, amounting to a total of 238, and ahead of Brazil which had 230. In 2018, Mexico retained its lead with 394 Fintech startups, still ahead of Brazil which had 380.
Fintech is continually growing thanks to entrepreneurship to create Fintech startups, as well as low banking and lending. For instance, 44 percent of the population does not use any banking products.
In this sense, growth not only increases the size of this sector but also aids the Mexican population in becoming more financially secure with platforms like Konfio that assists individuals and businesses with access to affordable loans.
Aside from Fintech expanding the function of technology in Mexico, investors such as Goldman Sachs view the sector as an opportunity for growth. Just recently, in September 2019, Goldman Sachs invested $100 million into Konfio, a small business loan lender. This allows $250 million in loans to 25,000 companies.
Technology in Mexico Advances With New Urban Landscapes
As Mexico advances technologically, the city landscape in Guadalajara does so to sustain a future generation of tech. As part of the 2012 Ciudad Creativa Digital project, the city has undergone construction to reinvent the historic district of Parque Morelos with the aim of creating a more urban, media/tech center and a 21st-century creative workspace. Developers envision Guadalajara with new educational and cultural institutions such as the Digital Creative Institute, as well as a Middle School in Visual Arts. On a cultural scale, institutions such as The Mexican Marketing Museum and Media Center engage the public to learn more about media. Outdoor theatres, pools and playgrounds provide a recreational experience.
By investing in this new landscape, Mexico will tap into the $1.5 trillion media and entertainment sector. Allowing more revenue, jobs and new technology to overall ensure a durable urban fabric to foster the growth of media in Mexico.
These five facts prove the successes of technology in Mexico in the forms of a new tech hub, nearshoring, venture capital investment, Fintech growth and a media/tech-oriented environment. Such successes in investing and growing a solid tech foundation will allow the country to sustain a future in the continuously digitizing world.
– Elizabeth Yusuff
Photo: Wikipedia Commons
10 Facts About the Importance of Primary Education
10 Facts About the Importance of Primary Education
Access to primary education provides the foundation upon which the talents of a nation’s youth may grow. Moreover, there exists a strong relationship between primary education and the promotion of such values as gender equality and social mobility. Although an indispensable institution in the contemporary age, crises both man-made and natural threaten primary education across continents. Fortunately, initiatives involving NGOs and governments promise to overcome these impediments, the importance of primary education weighs more as a right rather than a mere privilege.
– Philip Daniel Glass
Photo: Flickr
The Issue of Chinese Re-Education Camps
Currently, China is holding Uyghur Muslim prisoners in what it calls re-education camps. China is holding them captive in its re-education camps without trial, with the excuse that these centers are voluntary and a way to fight Islamic extremism. However, police forces hold power over these places, making it impossible for the Uyghur people to leave by choice. Despite the negatives these camps represent, people can do remarkable things to help from wherever they are. This article covers information about the discovery of the Chinese re-education camps and how nations and people are taking action.
The China Cables Leak
Currently, estimates state that China is holding somewhere between one and three million Uyghur Muslim prisoners in what it calls re-education camps. This number would equate to around 10 percent of the Uyghur Muslim population in China, which is about 10 million. The government is claiming that these centers are voluntary and a way to fight extremism. However, after the leak of the China Cables, China had a difficult time sustaining this narrative.
The China Cables refer to the leak of the operating manual for the Chinese re-education camps, which people formally knew as the Xinjian re-education camps. Prisoners only obtain weekly phone calls and a monthly video call with relatives. Other than that, any other contact can result in their suspension. The Chinese camps have high security and prisoners are under constant surveillance, which makes it nearly impossible for them to contact the outside without someone catching them.
One can mostly trace the documents back to 2017, and they explicitly reveal the government’s plans to use these facilities to forcibly teach manners and ideologies to the prisoners. Even though the government says the people can leave the camps and are there voluntarily, the China Cables state that the camps would only release the students after a year and only after achieving a minimum point score. Despite the evidence, Shohrat Zakir, chairman of the Xinjiang Uyghur Autonomous Region, said: “What we established are vocational training centers — they are not concentration camps as called by some people.”
The World’s Action
The world has been noticeably quiet about this issue. However, some U.S. representatives have provided comments and critiques about the camps. Mike Pompeo, the United States’ Secretary of State, has called the treatment of the Uyghurs “the stain of the century.” Deputy John Sullivan called it a “horrific campaign of repression.”
Even though it took some time, the U.S. government finally took concrete action. The administration blocked Chinese officials who carry out the repression from gaining visas to the U.S. The Commerce Department sanctioned Xinjiang’s Public Security Bureau, its subsidiaries and eight companies for their involvement in the persecution, detention and surveillance of the Chinese camps. China has used the camps as a testing ground for intrusive surveillance of the Uyghur.
Opensource Research
Any of these things would not be possible if it were not for the power of the people, beginning with the leak of the China Cables and opensource research. Opensource research is the type of research that includes sources available to everyone on the internet. German academic Adrian Zenz followed this type of research by using a Chinese search engine, Baidu, to discover documents that proved the existence of these camps.
Shawn Zhang is another significant contributor, who is a law student that used satellite imagery to investigate the location and size of the camps. Both of their research has supplied evidence and images to news outlets. It has also helped disprove the Chinese government’s denial of the camps. One should never underestimate the importance of the power of the people. Zhang says: “During my research, I have felt a lot of pressure from the Chinese government (…) [but] I think it is worth it because there are so many Uighur people held there. They just totally vanished, they disappear, like going into a black hole. They’ve lost contact with their families. At least my research can help international society to pressure the Chinese government so there can be a better chance of a peaceful solution.”
The Save Uighur Campaign
There has also been an increase in coverage of this issue, particularly in social media, through the hashtag #SaveUyghur. It is essential to keep talking about this, so more people become aware, and those in power feel pressured to exercise change. Finally, there are also nonprofits such as The Save Uighur Campaign, where people can donate and contact Congress. This NGO’s mission is to help the Uyghur Muslims suffering from the Chinese re-education camps. In its own words, “The project is a concerted effort to tie media exposure, public relations, and government action together into a single strategy aimed at the liberation of the Uighurs from the oppression they face at the hands of the Chinese government.” It is prompting people to protest and giving them the resources to do so as well.
A popular way of protesting, which Save Uighur also promotes, is Fast From China. China bans Muslims from fasting, which is part of their religion. As a way of protest and an act of solidarity, people stop eating Chinese products during the month of Ramadan. There is even a hashtag for this, #FastFromChina.
The Save Uighur NGO does something fundamental by encouraging people to contact Congress, as this is where one can see the most tangible progress when fighting for this issue. Congress is considering two bills that support Uighur Muslims. The Senate has already passed one, while the House of Representatives is yet to pass the other one. One can find the tools to support it and contact leaders on the Save Uighur website.
Atrocities are happening in China, but people are doing some things about them. People can start taking action and changing the circumstances by informing themselves and contacting their leaders. Some fantastic ideas are already in motion to fight against these Chinese re-education camps, both from the government and the people. From discovering the China Cables to a hashtag, everything counts in this battle. Despite the negatives these camps represent, people can do remarkable things to help from wherever they are.
– Johanna Leo
Photo: Flickr
Pioneering Technology in Mexico
Mexico’s image tends to receive negative portrayal in news reports depicting violence and crime. However, advancements of technology in Mexico provide an alternate image of the country as a pioneer in the Latin American technological scene. Here are five key facts that represent the country’s incredible achievements.
Guadalajara is a Growing Tech Hub
Located in Jalisco, Guadalajara presents itself as Mexico’s own Silicon Valley due to its massive community of 600 tech companies, 35 design centers and four research centers. With this cluster of tech companies, Jaslico exports more than $148 billion tech products to global consumers.
Guadalajara houses 13 universities such as Tecnologico de Monterrey, which graduates 85,000 students in IT yearly. This is especially notable considering that the city has 78,000 employed IT professionals, 57 percent of whom come from Guadalajara, presenting an excellent investment into the growth of the Mexican IT community for a sustainable tech hub.
Technological Outsourcing and Nearshoring Favors Mexico’s Location
Up until the 1990s, outsourcing in Mexico existed mostly in manufacturing capacities, such as Ford manufacturing at the south of the border. Now, thanks to the startup movement in the 2010s, Mexico is also an outsourcing hub for nearshoring. This is the process of conducting business operations in a nearby country that shares the same time zone. This results in convenience, consistency and better collaboration. For example, border neighbors such as the U.S. and Mexico adopt this relationship in software development companies such as ITexico, which have relationships with U.S. clients such as McDonalds and IBM. With low labor costs and a thriving technological community, companies such as ITexico with revenues of $5 million view Mexico as a great source of outsourced nearshoring.
Technology in Mexico Receives Vast Amounts of Venture Capitalist Investments Yearly
From 2014-2016, the U.S. invested nearly $120 million into 300 Guadalajara startups. In 2017, out of all Latin American countries, Mexico received one-quarter of total investment at $80 million in funding for 59 venture deals. Viewing investments from a grander scale, nearly 1,900 venture capitalists received $22 billion in investments between 2010 and 2018.
Investments per company vary between $80,000 – $120,000. Companies such as Voxfeed provide investors with a great return on investment considering its $2 million in revenue.
Such financial growth benefits the Mexican economy as it is currently the world’s 11th largest economy. It has the potential to gain $245 billion GDP by 2025, and the possibility of being the world’s largest economy by 2050.
Fintech Growth in Mexico Surpasses Other Latin American Countries
In 2017, Mexico led Latin America with the growth of 80 Fintech companies in 10 months, amounting to a total of 238, and ahead of Brazil which had 230. In 2018, Mexico retained its lead with 394 Fintech startups, still ahead of Brazil which had 380.
Fintech is continually growing thanks to entrepreneurship to create Fintech startups, as well as low banking and lending. For instance, 44 percent of the population does not use any banking products.
In this sense, growth not only increases the size of this sector but also aids the Mexican population in becoming more financially secure with platforms like Konfio that assists individuals and businesses with access to affordable loans.
Aside from Fintech expanding the function of technology in Mexico, investors such as Goldman Sachs view the sector as an opportunity for growth. Just recently, in September 2019, Goldman Sachs invested $100 million into Konfio, a small business loan lender. This allows $250 million in loans to 25,000 companies.
Technology in Mexico Advances With New Urban Landscapes
As Mexico advances technologically, the city landscape in Guadalajara does so to sustain a future generation of tech. As part of the 2012 Ciudad Creativa Digital project, the city has undergone construction to reinvent the historic district of Parque Morelos with the aim of creating a more urban, media/tech center and a 21st-century creative workspace. Developers envision Guadalajara with new educational and cultural institutions such as the Digital Creative Institute, as well as a Middle School in Visual Arts. On a cultural scale, institutions such as The Mexican Marketing Museum and Media Center engage the public to learn more about media. Outdoor theatres, pools and playgrounds provide a recreational experience.
By investing in this new landscape, Mexico will tap into the $1.5 trillion media and entertainment sector. Allowing more revenue, jobs and new technology to overall ensure a durable urban fabric to foster the growth of media in Mexico.
These five facts prove the successes of technology in Mexico in the forms of a new tech hub, nearshoring, venture capital investment, Fintech growth and a media/tech-oriented environment. Such successes in investing and growing a solid tech foundation will allow the country to sustain a future in the continuously digitizing world.
– Elizabeth Yusuff
Photo: Wikipedia Commons
A Look at Health Initiatives in Haiti
Haiti’s health care infrastructure has suffered drastically since the last massive earthquake in 2010. The earthquake further destroyed access to the delivery of health care and destroyed the country’s health care system as a whole. As a result, Haiti’s medical facilities now lack basic but critical services such as water and sanitation systems, state-of-the-art hospitals and clinics, modern medical resources and a sufficient number of trained medical professionals. There have since been health initiatives to aid Haiti in rectifying its health care and health care system.
Health Initiatives in Haiti
Haiti is in need of a permanent and modern health care infrastructure so that it can respond promptly and effectively to the medical needs of its community. With health initiatives such as Partners in Health, Hope for Haiti and the Community Health Initiative, Haiti will be well on its way to better health care and an improved health care system.
– Na’Keevia Brown
Photo: Flickr
5 Consequences of Not Having Access to Education
Growing up, many individuals assume that education is unlimited and that everyone has easy access; however, not receiving a proper education can have a major impact on an individual. Across the world, more than 72 million children are not able to gain access to an adequate education. In addition, almost 759 million adults remain illiterate. Part of this includes a lack of awareness to pursue an education. Further, many people who do have access to education typically take it for granted when many children cannot. It is important to understand the value of learning and the potential repercussions without it. Here are five consequences of not having access to education.
5 Consequences of Not Having Access to Education
Lack of Representation. First and foremost, not receiving an education can have major consequences on an individual’s voice. It can hinder the development of the skills necessary to represent oneself. This is further evident through the continuing oppression of women in developing countries. These women typically marry at a young age and must work at accomplishing domestic chores. In nations such as Saudi Arabia and Nigeria, many women without an education struggle to find jobs. Additionally, these women typically cannot read or write and often grow reliant on their husband’s income. In the end, the lack of access robs women of their potential. To add, gender disparity in youth literacy remains prevalent in almost one in five countries.
Unemployment. In many nations, education often determines employability. These nations rely on well-educated workers to promote their economy and workforce. Employers also use these credentials to differentiate applicants and potential employees. Today, many organizations fighting this issue focus on educating the youth as approximately 71 million 15 to 24-year-olds do not have employment around the world. Without access to education, individuals are more prone to remain at the bottom of the list when it comes to obtaining a job. Even as little as a high school diploma can open up many opportunities for employment.
Promotes Exploitation. Many individuals must resort to incredibly dangerous jobs just to make a living if they have limited education. Specifically, women and girls in developing countries often resort to various methods of exploitation to provide for themselves and their families. Education can provide secure work, but without it, people might have a difficult time getting ahead. Exploitation can include sweatshop labor, prostitution and child marriage.
Difficulty Raising Children. Children often rely on their parents when it comes to their own education; however, it can be quite difficult for a parent to assist their child if they never had access to education. It is important to understand how the lack of education can have consequences on future generations. Uneducated parents face issues such as the inability to help children with their homework or not knowing how to help them find their full potential. According to the American Psychological Association, children of uneducated parents are typically behind their peers when it comes to cognitive development and literacy levels. The effects of this issue were evident in 2014 when approximately 61 million children of primary school age did not attend school.
Poverty Trap. Ultimately, lacking access to a proper education puts an individual at risk of falling into the poverty trap. The poverty trap involves the inability to escape poverty due to a lack of resources. This can also lead to an intergenerational poverty gap, meaning children of those already in the trap are more likely to be at risk as well. Education provides the ability for one to access the knowledge necessary to make a living. Without it, it is difficult to escape the trap. According to the Brookings Institute study, each year of education provides an average 10 percent increase in wages.
In order to avoid these five consequences pf not having access to education, citizens around the world need to take action to increase access to education. Through advocacy and campaigns, there can be a change for the better. Once again, it is important to highlight the importance of education as it provides many opportunities for the future.
– Srihita Adabala
Photo: Flickr
10 Nelson Mandela Quotes on Leadership
10 Nelson Mandela Quotes on Leadership
Nelson Mandela’s quotes of leadership and wisdom remind us that there are many qualities of a great leader. To be a great leader, one must never give up, try to bring people together and be selfless. Leadership is about working with and for others to achieve a common goal that benefits everyone. Nelson Mandela dedicated his life to the people of South Africa and to undoing the harmful, institutionalized racism in the country. As part of his great legacy, these 10 Nelson Mandela quotes on leadership continue to inspire millions around the world. Further, his accomplishments show us that positive change is attainable.
– Emily Young
Photo: Flickr
A Closer Look at Botswana’s Success
Botswana is a landlocked country with an economy heavily based in the mining industry, having discovered diamonds around the time of independence. This subsequently kickstarted a parting from its agricultural and farming sectors. Botswana also depends on foreign trade with countries such as South Africa and Mozambique. Throughout the past 40 years, Botswana’s success has been startling in the face of the underdevelopment that often plagues other African nations. From 1985 to 1994, the number of impoverished people decreased by 17 percent and by 1990, child mortality rates had dropped from 18 percent to 4.5 percent for Africa as a whole.
Maintaining Progress
Many have largely viewed Botswana’s success as a shining star in the narrative of post-colonial Africa, and rightfully so. Since its independence in the 1970s, Botswana has maintained democratic institutions, a relatively stable and growing economy, inclusive social constructions and avoided the violence of civil war that has plagued its neighbors for decades. This country exemplifies the importance of establishing inclusive institutions to positively affect development through policies that aim to hold its leaders accountable and remain based in a market economy.
As an example of hope in an otherwise tumultuous sub-Saharan Africa, Botswana’s success is somewhat due to luck and chance. Historically, the discovery of diamonds and other reserves of natural resources has resulted in high levels of corruption and economic instability. Botswana instead had leaders who chose to allocate profits from the diamond sector to fund government programming. The country was able to rewrite its story after colonial rule and avoided the strife that often comes out of independence. It is difficult to find objective reasons as to why Botswana’s success has been so largely beneficial when the events that led to prosperity seem circumstantial.
Botswana’s Influence and Place
Some often raise questions about the reasoning behind Botswana’s growth and the answers to these mostly point to the critical instance of having good leaders working to develop a system of government that thrives on government accountability; something that many other African governments have not yet achieved. The emphasis on Botswana as a model for African success is blatant and justified, however, it is important that while it has been widely profitable and stable, the establishment of institutions comes with problems. Unemployment rates are high due to a disparity between the number of educated people and jobs available and HIV/AIDS rates are among the highest in the world. Additionally, while the economy has been doing well, it is not diversified.
Botswana’s success is a model for the possible future for sub-Saharan Africa. To assume that other countries currently transitioning from the post-colonial rule are the same in establishment and practice would be to discount individual differences that differing cultural and societal norms display. But, Botswana is an exception, and there is something to gain from discussing and analyzing its place as a nation in Africa. The success story of this country is an example of hope for a better future for other African countries struggling after extractive colonial rule and presents an opportunity to see Botswana as an example of a nation in the developing world.
– Jessica Ball
Photo: Pixabay
Transport Infrastructure Developments in Myanmar
One way Myanmar is accelerating economic development, and therefore reducing poverty, is through investing in transport infrastructure. A major side effect of economic development is poverty reduction. Development often results in job growth, higher productivity and improved education. Myanmar, as well as other developing countries, noticed massive poverty reduction that followed economic growth. However, economic growth is not the only solution to reducing poverty. Despite the southeast Asian country reducing poverty from 48.2 percent in 2005 to 24.8 percent in 2017, poverty still affects one in four people. Myanmar is currently updating and adding roads in rural areas. Additionally, Myanmar is constructing bridges, highways and railways to increase transport between Thailand, an important trade partner.
Benefits of Investing in Transport Infrastructure
Based on the Asian Development Bank’s (ADB) 2016 Myanmar Transport Policy Note, the country needs about $60 billion in transport investments between 2016 and 2030 for transport infrastructure in Myanmar to be completely developed. Myanmar has approximately 20 million people who lack basic road access. Further, 60 percent of highways are in poor condition. The ADB also stated that Myanmar’s GDP could potentially increase to 13 percent or about $40 billion if transport infrastructure investments increased to 3 to 4 percent of the GDP. For reference, Myanmar spent about 1 to 1.5 percent of its GDP on transport infrastructure between 2005 and 2015.
Policy for Transport Infrastructure
As part of Myanmar’s Sustainable Development Policy 2018-30, transport infrastructure development is a prioritized area. The third goal in the report relates to creating jobs and boosting the economy with the help of the private sector. The National Strategy for Rural Roads and Access 2016, Myanmar National Transport Master Plan 2016 and National Export Strategy 2015-2019 are three plans focused on upgrading or constructing transport infrastructure in rural and urban areas. Investing in transport infrastructure in Myanmar could improve trade between Thailand and other countries, as upgraded ports, railways, roads and bridges will open up the country for trade.
Bridges and Roads
The second Thai-Myanmar Friendship Bridge is a bridge over the Moei River in east Myanmar that opened in 2019. The $126 million bridge connects the city of Myawaddy in Myanmar with Mae Sot in Thailand. Myanmar expects the bridge will significantly improve business between the two trade partners.
Two bridge projects in the capital Yangon are also underway. The Yangon-Thanlyin Bridge will connect the capital with Thanlyin, a major port city that handles most of the export and import shipments into and out of Myanmar. Estimates determine that construction on the $278 million bridge should end by 2021. Another bridge connecting Yangon with Dala in the southwest costs $188 million. Construction for this bridge should end by 2022. Dala is an underdeveloped and rural area that lacks bridges across the Yangon River; therefore, this forces inhabitants to take a ferry to cross the river. The bridge will not only help locals reduce travel time but also increase trade throughout Yangon.
Railways
Investments also include the construction of railways, after Myanmar noticed that the number of vehicles on roadways doubled from 2012 to 2016. Traffic within Yangon has become two to three times slower within the same time period. Yangon has a population of more than seven million, so reducing traffic congestion is an important issue. This also explains the push for bridge construction within the capital. The result of this observation led to the creation of the National Transport Master Plan in 2014. One part of the plan involves upgrading the $3 billion Yangon-Mandalay rail line. Work began in 2018, and it should be completed by 2023. Travel times between Yangon and Mandalay will likely reduce from 12 hours to eight hours.
Progress
Evidence of further progress in transport infrastructure in Myanmar is clear through the paved highway network, which increased by 35 percent. The country is developing at around 6 to 7 percent; however, according to the ADB, further investment in transport infrastructure is necessary to completely develop the transport sector. Job growth and improved trade are two major results of transport infrastructure investment. As the bridges and railways come to completion in the coming years, transportation within and outside Myanmar could greatly improve.
– Lucas Schmidt
Photo: Wikipedia Commons
5 Benefits of 5G In India
With 5G connectivity as the next digital revolution for the global world, it is imperative to think about the positive impacts as 5G arrives in India as early as 2020. The service will introduce higher internet speeds and access for millions of Indian users. Here are five benefits of 5G in India involving its economy, retail, education, health care and agriculture.
5 Benefits of 5G in India
A Boosted Economy: With the second-largest population in the world at 1.3 billion in 2019, India’s digital customer base is just as numerically significant because it constitutes a great amount of the country’s GDP at 8 percent. For example, in 2018, there were 560 million Indian internet subscribers and 1.2 billion mobile subscriptions. Out of the $200 billion revenue from the country’s entire digital economy, digital communication and telecommunication account for $45 billion while mobile handsets account for $10 million. The introduction of 5G in India will allow for increased internet and broadband, and revenue will continue to trend upwards. For example, with the introduction of 5G in India, the country’s GDP could reach $1 trillion by 2035.
Advanced Retail: India’s retail sector accounts for a significant 10 percent of the nation’s GDP or $1.8 billion in 2017 through brick and mortar as well as online retailers. By 2020, the retail sector should rise to $3.6 billion. Thanks to 5G in India, higher internet speeds offer retailers and sellers a better connection due to faster website access. This instantaneous connection presents the potential for better sales. Additionally, store and inventory management software could aid retailers in their organization to offer better customer service. Digital payments such as United Payments Interface, the interbank money transfer service and Paytm can provide better data on revenue and increase the customer base. Digitization with 5G in India will provide better connections, increased sales, data collection and increased productivity causing the GDP to inevitably trend upwards.
Enhanced Education: 5G technologies will benefit students with increased communication, virtual and augmented reality, increased cloud data and smart learning for differently-abled students. For instance, 5G enables increased connection with 100 times faster speeds, thus enabling more opportunities for distance learning for individuals in remote areas. Virtual and augmented reality provide engaging and easily understood content, thus improving the quality of education. With faster connections, cloud data becomes more accessible, allowing students to resume work at their own pace. Personalized education for differently-abled students will vastly increase with cloud-based robots which act as assistants to aid children more in need of teacher assistance. Such progress is tremendous given that estimates determine that each additional year of schooling should result in about 8 percent higher wages.
Better Managed Agriculture: The Indian agricultural sector faces current challenges with a lack of data collection and analysis, fluctuating prices, unavailability of agri-logistics, poor farm returns and lack of information on consumer interest. 5G technology can amend such challenges with increased soil and crop monitoring, precision farming, smart irrigation and climate change alignment, livestock monitoring and agricultural drones. For example, in terms of soil and crop monitoring, 5G implemented sensors can provide information on soil data of moisture, nutrients and spoilage. These sensors are a huge accomplishment for food security because crop diseases are a challenge to Indian farmers serving an ever-growing population.
Increased Health Care: 5G forms a comprehensive digital network in health care with The Massive Internet of Medical Things (IoMT) and Enhanced Mobile Broadband (eMBB). With 5G, IoMT and eMBB will operate at faster speeds to effectively provide more personalized patient care. Technologies such as smart glucose monitoring and automated insulin delivery enhance proactive care with early detection methods resulting in more lives saved. With 5G, rural areas lacking health care facilities will have support from local centers made operable by new technology. These individuals can thus receive faster treatment, which was once only attainable at a distance.
With the second-largest population in the world and second-largest internet consumer base, 5G in India is sure to benefit the nation with better connectivity and higher speeds in urban and remote areas. Aside from its technological benefits, other great benefits exist as well with poverty reduction. In alignment with the forecasted GDP of $1 trillion by 2035 thanks to many aspects including digitization mentioned in this article, by 2027, the country expects to reach upper-middle-income status.
– Elizabeth Yusuff
Photo: Flickr
What is a Developing Country?
When addressing global poverty, a term that people often reference is “developing country.” But what is a developing country? In general, developing countries are typically battling poverty, but there is a lot more to these countries. A broad definition for this referred term would be a country seeking to advance its economic performance amongst other global economies. A more specific description for developing countries is complex to derive since various factors and indicators apply when examining world economies. Plus, the world does not have universal interpretations of these aspects.
What the Numbers Say
A useful indicator to help identify what is a developing country would be the gross domestic product (GDP) of purchasing power parity (PPP) per capita. This numerical value entails all the goods and services produced in a country within one year, standardized to U.S. prices, then divided out amongst its population. In other words, GDP PPP per capita describes the average economic wealth of each individual in a state. Thus, this establishes thresholds to determine a developing country. According to Investopedia, “As a rule of thumb, countries with developed economies have GDP per capita of at least $12,000(USD), although some economists believe that $25,000 (USD) is a more realistic measurement threshold.”
GDP PPP per capita can give a quick snapshot of the modern world economy by classifying developing countries as a value of less than 25,000 USD. It is a more relevant index than other economic comparing tools, such as nominal/real GDP, which does not account for consumer price variants among regions or the population of a country. Without considering the population, skewed data emerges within the actuality of global economies. For example, this article will compare China and Switzerland.
China has a GDP PPP of $23.21 trillion USD and Switzerland only $523.1 billion USD. Looking at these two numbers alone, it seems as though China is leaps and bounds more wealthy than Switzerland, but China’s population is more than 16 times Switzerland’s. Observing GDP PPP per capita, China values at $16,700 USD and Switzerland $62,100 USD. These numbers show that the average person in Switzerland is $45,400 USD more wealthy than those in China. In conclusion, the developing country is China, while the developed one is Switzerland. GDP PPP per capita is an economic calculation that can help answer the question, what is a developing country?
Human Development Index
There is more to consider than financial measurements when classifying what is a developing country. Just because a country exceeds the $25,000 USD threshold does not necessarily define it as developed. Another helpful indicator is the Human Development Index (HDI), a metric that the United Nations (UN) developed. The UN defines the index as “a summary measure of average achievement in key dimensions of human development: a long and healthy life, being knowledgeable and have a decent standard of living.”
A scale from zero to one defines the numerical values of the three components, then the geometric mean of those numbers is composited. “The health dimension is assessed by life expectancy at birth, the education dimension is measured by means of years of schooling for adults aged 25 years and more and expected years of schooling for children of school entering age. The standard of living dimension is measured by gross national income per capita.” If the result of the calculations equal to 0.8 or higher then HDI standards considers the state developed.
Using the previous example countries, China and Switzerland, the HDI is 0.758 and 0.946, respectively. This ratio supports an identical conclusion in regard to categorizing states. China again falls into the developing spectrum.
Critics
GDP PPP per capita and HDI have limitations in determining what is a developing country. While GDP PPP per capita measures wealth and HDI quantifies basic achievement levels in human development, neither account for other quality of life factors such as empowerment movements or security. Also, some economists believe HDI has too high of a correlation with GDP PPP per capita that it is not necessary due to redundant results.
BRICS
The top five developing countries today are Brazil, Russia, India, China and South Africa (BRICs). Why are these five important countries to note? Predictions show they will be future dominant suppliers of manufactured goods, services and raw materials. Accreditation for the growth within these regions goes to low labor and production costs. The BRICS countries currently fall into GDP PPP per capita and HDI developing country thresholds and are seeking to advance their economic performance among the global economies.
– Ariana Kiessling
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