The World Bank released a report on the digital economy of the Middle East and North Africa on Wednesday. The report’s authors argued that the region suffered from a “digital paradox”. Social media usage is relatively high in the Middle East and North Africa, considering the region’s gross domestic product. However, the use of internet and digital tools to make payments is low.
The bank world said that the Middle East and North Africa have huge opportunities for growth in the digital sector. “Given its relatively high coverage of digital technology infrastructure (especially mobile) and internet usage for its income level, the region should be on track to achieve advanced digital transformation – s ‘engage in market transactions using internet and telecommunications applications that enable remote market interactions’reads the report.
Currently, the Middle East and North Africa is on a “slow” trajectory towards economic digitalization. Part of the reason is a lack of trust in authorities and financial institutions, according to the institution.