Analysis

Benchmarking the Future of the Network Economy

Preface


The accelerated pace of digital transformation demands a new playbook for public-private collaboration.

While traditional Public-Private Partnerships (PPPs) built our roads and hospitals, Digital Public-Private Partnerships (DPPPs) are forging the pathways of our virtual future. These partnerships aren't simply PPPs in digital clothing—they're agile, adaptive entities shaped by the pace of technological change. As we race toward tomorrow's digital frontier, understanding how these partnerships can accelerate transformation at a time when serving the public interest has never been more crucial.

The Network Readiness Index (NRI) serves as a compass for governments navigating this digital transformation. This year's report examines how DPPPs drive digital readiness, ultimately fostering economic growth and improving quality of life worldwide.

We thank colleagues at the Saïd Business School, University of Oxford for co-publishing this report and our Knowledge Partners—Amazon Web Services (AWS) and the Brazilian National Confederation of Industry (CNI)—for supporting the 2024 NRI edition. Our gratitude extends to our Advisory Board, NRI Technical Advisory Group, and the Joint Research Centre (JRC) for ensuring the precision and relevance of our analysis.

Read more

Bruno Lanvin

Bruno Lanvin
Co-editor and Co-author

Soumitra Duta

Soumitra Dutta
Co-editor and Co-author


NRI 2024 Theme

NRI 2024 Theme

Building a Digital Tomorrow:
Public-Private Partnerships for Digital Readiness

Considering the rapid pace at which digital technologies and business models have changed over the last decade, it is vitally important to assess how new types of partnerships can help private and public players to shape a better digital to-morrow while accelerating digital transformation. However, we need to draw the lessons of the recent past to deepen digital partnerships (DPs).

This 2024 NRI report explores how Digital Public Private Partnerships (DPPPs) are reshaping the boundaries of public-private collaboration in the digital age in ways that include enhancing community participation and balances technological innovation with public accountability. Through these partnerships, governments can navigate the complexities of digital transformation, ensuring that technological progress is aligned with the broader goals of equity, inclusion, and resilience.

Read more

Key messages

Public-Private Partnerships Can Shape a Better Digital Future

Public-Private Partnerships (PPPs) offer a powerful framework for building a better digital future by aligning the goals and resources of both public and private sectors. In today’s digital era, Digital Public-Private Partnerships (DPPPs) have emerged as key drivers of transformation, enabling governments to work with technology companies to create digital infrastructure and modernize public services.

Countries such as Singapore and the United States, which show strengths in emerging technologies, highlight how DPPPs can integrate advanced technologies like AI and IoT into essential areas such as healthcare, education, and governance. With supportive regulatory frameworks and innovative financing models, these partnerships foster a balanced approach to digital transformation, blending public accountability with private-sector innovation.

Learn more

COVID-19 Redefined the Focus of Public-Private Partnerships

The COVID-19 pandemic fundamentally shifted the focus of PPPs toward digital resilience and infrastructure, highlighting the urgent need for adaptable, technology-driven solutions. With widespread lockdowns, mobility restrictions, and disruptions to essential services, digital platforms became critical for maintaining continuity in areas like education, healthcare, and government operations.

The pandemic accelerated the rate of digital adoption worldwide, with significant increases in mobile payment usage, especially in low- and middle-income countries, as people turned to digital channels for financial transactions and government aid. This shift drove governments and private sector partners to invest more heavily in digital public infrastructure. For example, economies like Zimbabwe and Lesotho demonstrated resilience by closing the rural gap in digital payments, making digital channels vital for financial transactions and government aid distribution. As a result, the emphasis in PPPs has increasingly moved from traditional infrastructure projects to digital solutions that can respond flexibly to emerging global challenges.

Learn more

Robust Regulatory and Institutional Frameworks Are Essential to Harness the Potential of Digital PPPs

To harness the full potential of DPPPs, strong regulatory frameworks are essential. These frameworks need to address key issues like data privacy, cybersecurity, and transparency, ensuring that the rapid advancement of digital services aligns with public interests.

For instance, countries such as the United Kingdom and Estonia, known for their strength in cybersecurity, set high standards that are crucial for building public trust in digital initiatives. Similarly, regulations such as the European Union's GDPR have set high standards for data protection, which are crucial for building public trust in digital initiatives. International organizations, such as the OECD and the World Bank, are also promoting guidelines for privacy and interoperability to support secure cross-border data flows and reduce regulatory barriers. By setting clear standards, these frameworks can guide DPPPs to deliver efficient, secure, and inclusive public services while safeguarding citizens’ rights in a rapidly digitalizing world.

Learn more

DPPPs Are Essential to Advancing Global Sustainable Goals

DPPPs play a crucial role in advancing global sustainable goals by promoting inclusivity and equity across various sectors. These partnerships enhance access to essential services, particularly in underserved regions, by leveraging digital technologies to address systemic challenges.

In education, for instance, DPPPs have transformed learning opportunities, improving access to ensure that diverse populations can benefit from quality education. Examples are countries like Singapore, Indonesia, and Rwanda that have demonstrated strengths in ICT skills within their education systems, helping diverse populations gain access to quality learning resources. Similarly, in healthcare, these collaborations improve access to medical services and innovations, particularly in remote areas. By fostering cooperation between public and private entities, DPPPs are instrumental in driving progress towards achieving the United Nations’ Sustainable Development Goals, ultimately contributing to a more equitable and sustainable future.

Learn more

DPPPs are Diversifying Funding and Scaling Digital Transformation

Blended financing mechanisms are increasingly recognized for their potential to diversify funding sources and scale digital transformation initiatives. These mechanisms harness the varying risk and return preferences of multiple market participants, making them particularly valuable for investments in digital infrastructure and technology development.

Countries like the United States and Sweden, which have strengths in investments in emerging technologies, illustrate how combining concessional finance with private sector capital can mitigate investment risks. This approach not only enhances the financial viability of projects but also addresses the substantial gap in funding required to meet sustainable development goals. Through innovative financial instruments, DPPPs can attract private investment and support the scaling of digital transformation efforts, ultimately fostering a more inclusive digital economy.

Learn more

Cloud Computing in DPPPs Expands Digital Service Accessibility and Drives Innovation

Cloud computing has emerged as a cornerstone for DPPPs, enabling governments to expand the capacity and reach of digital services and providing on-demand, scalable solutions across sectors.

Countries like the United States, United Kingdom, and Japan, which exhibit strengths in the public cloud computing market, demonstrate how leveraging cloud infrastructure allows governments to deploy essential services like e-governance, healthcare, and education without heavy upfront investments. For instance, cloud platforms support telemedicine and remote learning, making critical services accessible even in remote areas. Additionally, the flexibility of cloud computing allows for the rapid deployment of innovative technologies, such as AI-driven analytics, supporting governments in delivering responsive, data-driven public services.

Learn more

Public Engagement as a Critical Component in Building Trust and Inclusivity in DPPPs

In successful DPPPs, public engagement is essential to ensure that digital transformations are inclusive, transparent, and aligned with community needs.

Economies such as Finland, the Republic of Korea, and Estonia, are recognized for their strengths in E-participation and government online services, as they exemplify how public engagement initiatives like digital town halls and citizen feedback platforms can foster collaboration between the public sector, private entities, and communities. This participatory approach not only builds trust in digital initiatives but also ensures that solutions reflect diverse perspectives and address specific community challenges. By involving citizens in the planning and evaluation phases of DPPP projects, governments can better navigate ethical concerns and create services that are equitable and widely adopted.

Learn more

Key Results


The Top 10

For the third consecutive year, the United States has maintained its leading position in the Network Readiness Index (NRI), with Singapore following closely behind. Finland has retained its third-place ranking, while Sweden has advanced to fourth. The Republic of Korea has risen to fifth place, showing continued improvement. Meanwhile, the Netherlands, Switzerland, the United Kingdom, Germany, and Denmark round out the top 10. Notably, the United Kingdom has moved up to eighth place, and Germany and Denmark are ranked at ninth and tenth, respectively.

The top performers in the NRI consistently display three significant trends: they are primarily high-income nations, they exhibit strong network readiness across all dimensions, and the European countries continue to maintain a strong presence. These patterns are evident in the NRI 2024 rankings, where each of the top 10 countries secures a position within the top 25 across the four main pillars: Technology, People, Governance, and Impact.

Regarding regional representation, Singapore and the Republic of Korea are the only countries from Asia and the Pacific that appear in the top 10, while the United States is the sole representative from the Americas. The remaining top 10 positions are occupied by European countries, underscoring their continued dominance in global network readiness.

Pillars
Country NRI Rank NRI Score Technology People Governance Impact
United States 1 78.96 1 2 9 11
Singapore 2 76.94 6 3 8 5
Finland 3 75.76 11 9 4 1
Sweden 4 74.99 7 15 6 2
Republic of Korea 5 74.85 10 1 22 13
Netherlands 6 73.94 3 20 3 6
Switzerland 7 73.71 2 10 13 10
United Kingdom 8 73.57 5 7 14 8
Germany 9 73.54 4 8 16 9
Denmark 10 72.70 8 18 1 7

Regional Leaders

The Network Readiness Index 2024 reveals a complex global digital landscape where significant disparities exist between regions and development levels. At the top of the rankings, the United States leads with exceptional performance across technology adoption and innovation metrics, particularly excelling in areas like AI development and digital business transformation.

The Asia-Pacific region presents a fascinating study in contrasts. Singapore maintains its position as a global digital powerhouse, ranking 2nd overall, with remarkable strengths in governance and digitally connected businesses. China, ranking 17th overall, demonstrates impressive capabilities in various domains. Specifically, China leads globally in AI scientific publications and domestic market scale, though it is facing challenges in regulatory frameworks and privacy protection.

Southeast Asian nations show varying levels of digital maturity. Malaysia (36th) emerges as a regional leader among upper-middle-income economies, with strong performance in emerging technology adoption and digitally skilled population. Thailand (40th) and Vietnam (45th) follow closely, with each nation showing its own unique strengths – Thailand in digital inclusion and Vietnam in impact of digital technologies on economy and quality of life.

India's position (49th) reflects its dual nature as a technology powerhouse and developing economy. While leading globally in AI publications and showing strong performance in public cloud computing (4th), India faces significant challenges in digital inclusion and regulatory frameworks.

The lower rankings reveal a persistent digital divide, particularly affecting African nations. Despite some bright spots, like Rwanda's strong performance in government promotion of digital technologies (23rd), many Sub-Saharan African countries struggle with basic digital infrastructure and skills development. This divide is particularly evident in countries like Uganda (118th), Malawi (119th), and Chad (130th).

This global digital landscape underscores the growing importance of comprehensive digital transformation strategies that address not just technological infrastructure, but also regulatory frameworks, skills development, and digital inclusion. The success stories of rapidly advancing nations like China and Malaysia provide valuable lessons in strategic digital development while highlighting the continued challenges in achieving global digital equity.

Note: Global ranks in parentheses. CIS = Commonwealth of Independent States.

Income Group Leaders

In the 2024 Network Readiness Index, the top three countries in each income group highlight diverse strengths across digital readiness and development. Among the high-income countries, the United States, Singapore, and Finland lead globally, ranking first, second, and third, respectively. These nations demonstrate a well-rounded approach to digital infrastructure, education, and innovation, securing their positions at the forefront of technological advancements.

In the upper-middle-income group of countries, China ranks highest at 17th, followed by Malaysia and Thailand at 36th and 40th, respectively. These rankings underscore the efforts of these countries to drive digital transformation within their economic capacities, focusing on educational improvements and technological adoption.

Among lower-middle-income countries, Vietnam, India, and the Philippines rank 45th, 49th, and 63rd, respectively. Their advancements reflect significant progress in areas such as ICT adoption and workforce upskilling, aligning with regional economic development objectives.

In the low-income countries, Rwanda (91st), Uganda (118th), and Malawi (119th) demonstrate commendable strides toward enhancing digital readiness, despite their resource constraints. These rankings showcase the varied pathways through which countries across income levels are leveraging digital readiness to foster economic growth and competitiveness in the global digital landscape.

High Income Countries Upper-Middle Income Countries Lower-middle Income Countries Low Income Countries
1. United States of America (1) 1. China (17) 1. Viet Nam (45) 1. Rwanda (91)
2. Singapore (2) 2. Malaysia (36) 2. India (49) 2. Uganda (118)
3. Finland (3) 3. Thailand (40) 3. Philippines (63) 3. Malawi (119)

Note: Global ranks in parentheses.

Continuing to improve the NRI model

Digital transformation necessitates a constant review of the data that powers the NRI model. Annually, the NRI team scours a variety of general and tech-specific sources, pinpointing new indicators that can effectively gauge the ever-shifting terrain of digital evolution and network readiness.

Stability is paramount; while evolving the model is crucial, ensuring its stability is equally essential for maintaining its validity. The refinement of the NRI stems from the introduction, evolution, or integration of relevant metrics. However, at the heart of the NRI model remains the belief that our shared future hinges on a seamless fusion of People and Technology.

As technology progresses, its interplay with people will intensify. Both entities will work hand in hand, forming a symbiotic relationship in both social and business realms. To bolster this alliance, it's imperative to institute governance structures addressing trust, security, and inclusivity. Our ultimate goal is to enhance the ways people can harness technology to its full potential, a measure that is reflected in three pivotal domains of societal wellbeing.

The Network Readiness Index

The 2024 NRI Report is anchored in the three core principles outlined by the NRI Technical Advisory Group in 2019, ensuring the NRI model remains future-ready.

  1. To maintain continuity with the major components of the NRI from previous years.
  2. To reflect the current issues concerning ICT deployment that the previous NRI models may not have adequately captured.
  3. To future-proof the NRI model regardless of developing future technology trends.

Read more

Technology

Central to the networked economy is technology. As a foundational component of the NRI, the Technology pillar aims to evaluate the technological infrastructure crucial for a country's engagement in the global economy. The Technology pillar's objectives are addressed through three sub-pillars:

  • Access: This examines the basic level of ICT accessibility for individuals in countries, delving into facets such as communication infrastructure and cost-effectiveness.
  • Content: Focuses on the nature of digital technologies generated within countries and the local deployable content/applications. It encompasses data derived from scientific articles, expenditure on software, GitHub commits, and the development and use of mobile applications.
  • Future Technologies: Gauges a country's readiness towards the impending trends in the networked economy and novel technological paradigms. It encapsulates the adoption of Artificial Intelligence (AI), the Internet of Things (IoT), and investments in budding technologies.

Read more

Technology

People

The technological landscape mirrors the proficiency, inclusivity, and adeptness of the populace and entities of a nation in harnessing technological assets. The People pillar, therefore, assesses the application of ICT across three facets: individuals, enterprises, and public sectors.

  • Individuals: Analyzes individual technological utilization and their capacity to engage in the networked economy.
  • Businesses: Evaluates the way enterprises integrate ICT and their involvement in the networked economy, including advancements in AI and public cloud computing. This is reflected through metrics such as the Number of venture capital deals invested in AI and Public cloud computing market scale.
  • Governments: Probes into government ICT investments and deployments to cater to the wider populace. Recent updates to the model also include measurements of the government’s Data Capabilities.

Read more

People

Governance

Governance epitomizes the frameworks that fortify a holistic network, ensuring its users' safety. The Governance pillar emphasizes the creation and reachability of structures that invigorate the networked economy across a triad of dimensions:

  • Trust: Assesses the security landscape for both individuals and corporations within the networked economy, highlighting a trust-conducive environment and its consequent behavior among citizens.
  • Regulation: Surveys the government's role in fostering networked economy participation via regulatory measures, strategies, and foresight.
  • Inclusion: Identifies digital disparities within nations, where governance can mitigate discrepancies stemming from gender, disabilities, and economic backgrounds.

Read more

Technology

Impact

A nation's readiness in the networked economy translates into holistic growth and societal enhancement. The Impact pillar endeavors to gauge the diverse ramifications of engagement in the networked economy across a trio of arenas:

  • Economy: Delves into the economic repercussions of integration into the networked economy, incorporating aspects like the magnitude of the domestic market. ICT patent applications serve as an indicator of the outcomes of this integration.
  • Quality of life: Chronicles the societal implications derived from participation in the networked economy.
  • SDG contribution: Analyzes the influence of networked economy engagement in the purview of the Sustainable Development Goals (SDGs). In this context, ICT emerges as pivotal, with specific indicators weaving through health, education, gender parity, and environmental concerns.

Read more

People

Download the NRI 2024 Report → here