DIGITALIZATION Taskforce Factsheet - TRANSFORMING FOR INCLUSIVE GROWTH - B20 Saudi Arabia
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B20 Digitalization Taskforce Digitalization affects every aspect of our lives. It pushes the boundaries of human ability. It can improve production, services, and trade and help address a wide range of challenges spanning several areas such as healthcare, agriculture, transport, education, climate change, and public governance. However, the full potential of digitalization can only be unlocked by the joint efforts of governments and businesses in mitigating some of its inherent challenges. The COVID-19 crisis has restated the importance of relying on a resilient digital infrastructure, enhancing digital connectivity, and fostering accessibility worldwide. Today, half of the global population remains offline and is therefore unable to directly reap digital dividends. So, it is now more essential than ever for the G20 to boost investments in digital infrastructure and to facilitate affordable digital access for all. At the same time, we need to be aware that a more connected world will increase cyberthreats. Minimum common international cybersecurity standards should be agreed, and individuals and businesses should be empowered through education, training, and awareness campaigns to prevent, detect, and respond to cyber-risks. Artificial intelligence has the promising potential to outperform humans in accuracy and speed, cultivate equality and inclusion, and generate productivity gains. However, decision-makers should optimize AI technology and its applications to ensure that its benefits can be enjoyed not merely by a few but by all members of our society. Governments should lead the way by incorporating AI into their services and by emphasizing the role of educational institutions in delivering AI courses and programmes. On this journey, the G20 needs to promote the harmonization of national action plans and the utilization of regulatory sandboxes to facilitate AI advancement in a responsible manner. At the same time, the G20 should stand to mitigate the risk of unfairness in AI outcomes by fostering international initiatives for inclusive AI and by ensuring data diversity is respected and biases removed. As the global population and urbanization continue to grow, more people will be living in megacities. However, life in cities is made more and more complex by challenges such as resource scarcity, supply chain sensitivity, and congestion. To prevent these aggravations, the G20 should promote the implementation of smart cities, as they have significant potential to address these challenges, to improve public welfare, and to promote sustainable societies by leveraging digitization and citizen-centric innovation that allows residents to participate in the development of smart cities. As a precondition for laying the foundations for smart cities, G20 members should stimulate multi-stakeholder cooperation to enable the sharing of data, expertise, best practices, and a joint infrastructure within clearly defined guidelines. They also need to facilitate the rollout of smart city elements by encouraging collaboration among municipalities at lower levels (e.g., smart roads, smart buildings, and smart towns), while supporting a global platform to build transparency on investments and infrastructure financing options. Lastly, to increase the social acceptance of smart city technology, the G20 1
should support public campaigns and engagement initiatives for citizens to be informed and to contribute to the development of their cities. The digital skills divide exacerbates inequalities between countries, locations, gender, socioeconomic status, and age. It hinders development and creates disparities in access to resources. The G20 should minimize this gap in digital skills by reforming education to build the skills and capabilities of individuals to succeed in the digital world and by advancing digital learning methods to provide broader access to education despite any existing limitations. This will not only ensure opportunities can be grasped by all but could also help bridge the gap between job market needs and educational offers, especially when supported by promoting women’s participation in the digital market by offering empowerment programmes and reducing barriers. Relevance of Taskforce Recommendations for the G20 topics: “Empowering People”, “Safeguarding the Planet”, and “Shaping New Frontiers” Empowering Safeguarding the Shaping New Digitalization People Planet Frontiers Develop robust, Enable and Support a Promote investment in Enable and support a 1 resilient, and joint Resilient Digital cybersecurity human resilient digital cybersecurity Infrastructure capital infrastructure strategies Create a favourable Support the Healthy and trust -inducing 2 Development and Advance AI benefits for all regulatory Adoption of AI environment Increase the social Support municipalities Support the key Lay the Foundations acceptance of and 3 for Smart Cities engagement in smart in rolling out smart city building blocks of elements smart cities cities Promote digital job Overcome the digital Introduce and Drive Digital Inclusion opportunities for all advance innovative 4 and Grow Digital and in particular skills divide methods for digital Skills women education B20 Saudi Arabia: Transforming for Inclusive Growth 2
Recommendations Enable and Support a Resilient Digital Infrastructure Recommendation 1: The G20 should enable and support a res ili ent digital infrastructure (IoT, 5G) by foster ing the cybersecur ity read iness of individuals, MSMEs, large businesses , and public inst itutions , and by promoting inve stment i n human capital i n the fi eld of cybe rsecurit y. Policy Action 1.1: The G20 should enable and support a resilient digital infrastructure by laying the regulatory foundations, boosting investment to reduce connectivity gaps, ensuring robust global value chains for technology, and incentivizing affordable digital access via services, networks, and devices. • G20 members should adopt principles for a stable and predictable regulatory environment, building on existing global principles, to lay the foundations for a global digital infrastructure and convert them into national legislation. • G20 members should boost investment in digital infrastructure, ensuring appropriate public and regulatory policies to reduce the connectivity and access gaps between individuals, organizations, and countries. Policy Action 1.2: G20 members should develop robust, resilient, and joint cyber strategies against cyberattacks for individuals, MSMEs, businesses, and governments by adopting principles that foster an ecosystem of trust, promoting recommended minimum common international cybersecurity standards in collaboration with industry best practices, and providing incentives for businesses demonstrating cybersecurity readiness. • The G20 should adopt principles that foster an ecosystem of trust with identified stakeholders to strengthen cybersecurity strategies and frameworks to prevent, detect, and respond to cybersecurity incidents and learn from them. • G20 members should promote the recommended minimum common international cybersecurity standards, in collaboration with industry best practices, by means of a risk-based approach that includes built-in and by- design cybersecurity controls, regular and affordable security assurance testing of technologies, and penalties for not addressing cybersecurity vulnerabilities, ensuring that those standards are also implementable for micro, small, and medium enterprises (MSMEs) to ensure cyber readiness. Policy Action 1.3: The G20 and its members should promote investment in cybersecurity human capital and in the protection of communities from cyberthreats by recognizing the importance of national, regional, and global educational platforms, supporting information and communication campaigns, and supporting a best-of-breed training curriculum for cybersecurity professionals 3
• The G20 should recognize the importance of educational resources based on best practices for all aspects of cybersecurity. • G20 members should support government information and communication campaigns outlining the dangers of cyberattacks and suggesting prevention measures. • The G20 should support a best-of-breed training curriculum and guidelines for on-the-job training of cybersecurity professionals. Support the Healthy Development and Adoption of Artificial Intelligence (AI) Recommendation 2: The G20 should support the healthy deve lopment and adop tion of AI whereve r poss ible by creating a favou rable and trust-inducing regulatory env ironment, educa ting busi ness es, gove rnment, and society on the techno logy , and advanc ing AI bene fi ts for all. Policy Action 2.1: The G20 should create a favourable and trust-inducing regulatory environment for the usage of AI and data by harmonizing national action plans, facilitating cross-border data flow while respecting and promoting frameworks for the protection of data privacy and data security, and supporting regulatory sandboxes for AI applications. • The G20 should harmonize national AI action plans to ensure responsible stewardship and implementation of trustworthy AI based on the voluntary OECD AI principles endorsed by G20 leaders and build upon the work of the OECD AI Policy Observatory to strengthen the multidisciplinary, evidence- based, and multi-stakeholder dialogue around analysis of public policy on AI. • The G20 should promote accountable frameworks for the protection of data privacy and data safety across nations so that beneficial uses of AI are preserved while risks of privacy harm are assessed and mitigated, in line with local legal requirements. • The G20 should support regulatory sandboxes for AI applications to advance public sector regulation and innovation. Policy Action 2.2: G20 members should advance AI benefits for all by supporting public information campaigns, promoting AI use cases in the public sector, encouraging educational courses and programmes on AI, and fostering international initiatives for inclusive artificial intelligence. • The G20 should support public information campaigns that communicate the AI uses that meet businesses’ and society’s needs, e.g., disease diagnosis, to increase trust in and support the use of AI. • G20 members should show the political will to implement AI use cases in the public sector with the support of the private sector. • G20 members should encourage universities to elevate AI to a full degree as well as motivate institutions of secondary and tertiary education to introduce shorter courses on AI to ensure that sufficiently trained professionals are available for the research, development, and operation of AI applications. 4
• G20 members should commit to creating national learning programmes for employees that convey rules of ethics and safety to employees using AI applications and reward employees for their achievements. • The G20 should foster international initiatives for inclusive AI so that diversity is respected and the whole data value chain is based on a responsible approach, enabling discriminatory biases to be identified and controlled to drive inclusive growth and contribute towards a fair and just society. • The G20 should collaborate with the OECD AI Policy Observatory to define measures that ensure that the benefits of AI spread into countries and areas of society that have been disadvantaged in terms of access. Lay the Foundations for Smart Cities Recommendation 3: The G20 should lay the foundations for smart cities to thrive by supporting the building block s and fostering greater social accep tance of smart citi es globally. Policy Action 3.1: To support the key building blocks of smart cities, G20 members should support the definition and communication of what smart cities represent, work towards standard technical requirements, and facilitate cross-border data flow while respecting and promoting applicable legal frameworks on data privacy and security. • The G20 should support the definition and communication of what represents smart cities and strengthen cooperation among all those involved in the creation and running of smart cities and smart city elements, such as smart buildings, on the basis of the G20 Global Smart Cities Alliance policy framework and principles. • The G20 should work towards the technical requirements that enable innovation for smart cities. • G20 members should define clear frameworks for the protection of data privacy and data safety across nations so that the benefits of sharing data among stakeholders of smart cities can be preserved whilst the risks of privacy harms are assessed and mitigated in accordance with local legal requirements. • G20 members should drive the modernization of the smart city backbone by strengthening top-level planning for an information technology infrastructure, such as networks, computing power, storage, and data platforms, and encourage the relevant stakeholders to share solutions and best practices. Policy Action 3.2: The G20 should work towards increasing the social acceptance of smart cities by supporting public communication campaigns, structured participatory processes, and bottom-up initiatives, promoting the use of data to meet the population’s need for smart solutions, and fostering the application of smart city technology in all relevant fields. 5
• The G20 should support public communication campaigns to communicate the benefits of smart cities. • The G20 should support structured participatory processes, bottom-up initiatives, and open source libraries that allow local citizens to participate in the development of smart cities from scratch. • G20 members should promote the use of data where necessary to meet the population’s need for smart solutions while taking into account the existing regulations governing data privacy, data protection, and the security of individuals. Policy Action 3.3: G20 members should support municipalities in rolling out smart city elements by encouraging cooperation on a smaller scale, supporting a national and global information and engagement platform for municipalities, and engaging in private and public partnerships to facilitate the development of smart cities. • G20 members should support a national and global information and engagement platform to inform municipalities on the different options for financing and investments in smart city infrastructure both now and in the future. • G20 members should engage in public-private partnerships for necessary- but-less-profitable deployments where solely private investments are not sufficient. Drive Digital Inclusion and Grow Digital Skills Recommendation 4: The G20 should drive digital inclusion and grow digital skill s by overco ming the digital sk ill s divide, supp orting and adva ncing innovat ive methods for digital educat ion, and prov iding more digital job oppo rtuniti es to women. Policy Action 4.1: The G20 should overcome the digital skills divide by supporting high quality educational programmes for all, fostering access to the most affordable technology for all, promoting partnerships to create safe digital environments, and accelerating the digitization of government services including licensing, permitting, tax collection, and procurement. • The G20 should support partnerships and platforms of high quality educational programmes that teach individuals of all countries, regions, genders, socioeconomic status, vulnerable groups, and ages how to utilize digital services and especially how to protect themselves from misinformation, online exploitation, and violent extremism. • The G20 should promote multistakeholder partnerships to combat cyber violence and create safe digital environments for all. • G20 members should accelerate the digitization of government services to increase public adoption and facilitate business operations, especially for MSMEs, while ensuring that all stakeholders have the capabilities to use these services. 6
Policy Action 4.2: G20 members should introduce and advance innovative methods for digital education by reforming education systems to offer future work skills, encourage credentials and dual accreditations tailored to jobs, and develop national digital education strategies to bridge the gap between job market requirements and educational offers. • The G20 should reform educational institutions on all levels (schools, vocational training colleges, and universities) to better provide the skills for the future of work (stronger emphasis on Computer Science and other STEAM subjects) and teach students to use digital solutions, whilst paying attention to the development of social-emotional as well as cognitive skills. • The G20 should encourage the foundation of educational establishments, such as vocational training colleges and private sector companies, in particular MSMEs, to offer credentials that are tailored to specific digital jobs and to foster the use of dual accreditation via academic qualifications and industry certification. • G20 members should develop a national digital education strategy that employs a range of tools and approaches including upskilling and reskilling on the job to bridge the gap between the skills the workforce has to offer and the jobs available in the job market as well as to emphasize lifelong learning. Policy Action 4.3: The G20 should promote more digital job opportunities for women by increasing awareness of how to reduce barriers, setting up dedicated initiatives with the private sectors, and establishing empowerment programmes to foster women’s leadership, knowledge, and skills in the digital sector. • Together with the private sector, the G20 should create awareness of how to reduce barriers and close the wage gaps for women in global and national tech and digital companies, especially in leadership positions. • G20 members should set up dedicated initiatives together with the private sector to support female entrepreneurship in the tech and digital sector. 7
B20 SAUDI ARABIA The Business Twenty (B20) is the official G20 dialogue with the business community. On 1 December 2019, Saudi Arabia assumed the G20 and B20 Presidency and became the first country in the MENA (Middle East and North Africa) region to host a G20 Summit. ‘Transforming for Inclusive Growth’ is the motto and promise of B20 Saudi Arabia. To deliver on its promise, B20 Saudi Arabia engaged the local and global business community through an action council, six taskforces, two cross-cutting themes and a special initiative. DIGITALIZATION TASKFORCE Chair Nasser S. Al-Nasser Group CEO, STC Deputy Chair Abdullah Al-Kanhal Senior VP Corporate Affairs, STC Co-Chairs Börje Ekholm Dr. Guy Diedrich CEO, Ericsson Group (Sweden) VP & Global Innovation Officer, Cisco Cedrik Neike Systems (USA) CEO Smart Infrastructure & Board Mats Granryd Member, Siemens (Germany) Director General, GSMA (UK) Diane Wang Wael El Kabbany Founder & CEO, DHGate (China) MEA Enterprise Managing Partner, Microsoft (UAE) Knowledge Partners Boston Consulting Group (BCG) Network Partners Business at OECD (Organisation for Economic Cooperation and Development) Council of Saudi Chambers (CSC) Global Business Coalition (GBC) International Chamber of Commerce (ICC) World Economic Forum (WEF) Argentina 1 Saudi Arabia 32 China 10 South Africa 2 France 6 South Korea 1 1 76% Germany 8 Turkey Indonesia 1 United Kingdom 6 Italy 3 United States 15 Russia 5 European Union (EU) Non-G20 10 4 24% Total Members 105 GEOGRAPHIC REPRESENTATION GENDER REPRESENTATION POLICY DEVELOPMENT PROCESS Refined recommendations and deliverables Defined Priority topics and Prepared preliminary Finalized onboard TF members recommendations Developed policy recommendations to address policy paper COVID-19 DECEMBER JANUARY FEBRUARY MARCH APRIL MAY JUNE JULY 2019 2020 2020 2020 2020 2020 2020 2020 Inception meeting Survey Inception First Second Joint Taskforce Third Fourth Fifth Launched Meeting Teleconference Teleconference Virtual Meeting Teleconference Teleconference Teleconference Policy Development Process Completed 8
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