ITC and GSMA partner to bridge digital divide for SMEs in developing countries

ITC and GSMA partner to bridge digital divide for SMEs in developing countries

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The International Trade Centre (ITC) and GSMA have signed a memorandum of understanding (MoU) to form a strategic partnership

The new alliance builds upon their earlier collaboration under the UN Broadband Commission, where they co-chaired the working group on ‘Making Connectivity Work for MSMEs’ in 2023.

The primary goal of this partnership is to unlock digital business and trade opportunities for underserved groups, including women, the poor, youth, and refugees.

Despite the widespread availability of digital networks, numerous communities remain disconnected, particularly in developing countries. These populations face significant barriers to digital connectivity, including a lack of knowledge and digital skills, high costs (especially for devices), concerns about relevance, safety and security, and limited access.

The ITC and GSMA partnership aims to tackle these challenges by enhancing online activity and economic prospects for small businesses. Key initiatives will include supporting digital entrepreneurship, offering digital skills training, and providing technical assistance to policymakers.

The support for digital entrepreneurship will target high-impact areas such as youth, refugees, and agritech. Digital skills training will cover basic digital skills, financial literacy, and e-commerce. Additionally, the partnership will offer training and support to policymakers in Asia and Sub-Saharan Africa to implement digital policy reforms and prepare for digital provisions in trade agreements.

Pamela Coke-Hamilton, executive director of ITC stated, “To open up opportunities in trade, we have to close the digital gap, especially for women, youth, and people in vulnerable communities. With the GSMA, we’re prioritising support to those who need it most, so they can use digital tools to trade, create jobs, and support their families.”

Mats Granryd, director general of GSMA remarked, “Mobile connectivity is a catalyst for transforming lives and fostering inclusive economic growth. Unfortunately, many small businesses are still unable to enjoy these benefits. By partnering with ITC, we aim to bridge this gap and make a tangible difference in communities where the digital divide is most profound.”

The partnership will focus on potential impact opportunities in Ethiopia, Kenya, Nigeria, Pakistan, Rwanda, Sierra Leone, and Uganda, as well as other countries across Asia and Sub-Saharan Africa.

The partnership seeks to ensure that digital connectivity translates into tangible economic benefits, ultimately fostering sustainable development and inclusive growth in some of the world's most disadvantaged regions.

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