ASSESSING THE RELATIONSHIP BETWEEN MOBILE BROADBAND AND SECURE INTERNET INFRASTRUCTURE IN DEVELOPING AND DEVELOPED ECONOMIES

Abstract

The paper provides a cross-country analysis (2010-2024) about the effects of mobile broadband expansion on secure digital infrastructure, trade, and economic development, based on the difference between developed and developing economies. The use of mobile broadband and internet has become central proxies to digital connectivity, due to the fact that digitalization has brought down the costs of international trade and facilitated the arrangement of global value chains. This research points out that the extensive use of broadband by the households and businesses is leading to growth, not just through infrastructure deployment. In developed (OECD) nations, one percentage point growth in mobile broadband penetration is linked with a corresponding 0.092-0.102 percent increment in GDP per capita, although, to a great extent, this benefit manifests itself over time. In developing nations, mobile broadband can be a kind of leapfrogging device, accelerating human development through more health and education, but not direct income benefits, and its effect is disproportionate to the regional areas. The paper finds that achieving digital benefits must be secured with reliable infrastructure and consistent regulatory provisions that can contribute to cybersecurity, interoperability and open and competitive digital markets.