Digital Transformation in Thailand: Policy and Institutional Reform Kasititorn Pooparadai, Ph.D. presented at Development Implications of Digital Economies (DIODE): Policy and Practice Workshop Oxford Internet Institute, University of Oxford, UK 9-10 October 2017
Outline • Ideation: Digital Economy Kick off • Policy Formulation: Thailand Digital Economy and Society (DE) Development Plan – Vision, – Goals, strategies • Implementation: – Realizing DE plan through Mega Projects – DE Laws enacted New Institutional Setting and Mechanisms • Conclusion and Discussion 2
Digital Economy Policy: Kick Off 2014 “ 6.18 Promote the digital economy and lay a foundation so that the digital economy can seriously move forward. This would make all economic sectors more advanced and competitive in the modern world, including the direct production and trade of digital products, such as hardware, software, digital communication and telecommunication products; and the use of digital technology as a basis for financial services and other service sectors, particularly communications and entertainment; and digital technology for manufacturing and creative economy. Improve the roles and missions of the authorities directly responsible to supervise and push this important matter forward; and establish a national committee to seriously steer the issue. ” Policy Statement of the Council of Ministers on Agenda 6: Enhancing the Country ’ s Economic Potential, delivered by General Prayut Chan-o-cha, Prime Minister, to the National Legislative Assembly on Friday 12 September B.E. 2557 (2014) 3
In the Beginning (1): Focusing on Economic Performance (narrow scope) “ Digital economy will enable the country ’ s original growth engines, ie., Agriculture, Industry, and Services, to perform even better. ” M.R. Pridiyathorn Devakula, Deputy Prime Minister of Thailand Digital Economy 0 1 Goals 1 1 0 1 0 0 1 Creating Innovation (Examples) Digital technologies are used to Improving Create more jobs in both ICT and real sectors ➢ Productivity Generate more incomes for businesses and ➢ people Increase the well-being of people (Education, ➢ Increasing Health, etc.) Utilization Save lives and properties ➢ Ensuring Digital Technologies Accessibility 4
In the Beginning (2): Focusing on Institutional and Legal Infrastructure 8 Drafted Bills were proposed to the Cabinet • Institutional-related • Trust and Confidence • Reorganization of Ministry • Computer Crime and Sub-Ministry and Act (Amendment) Department Act • Electronic • Digital Development of Transaction Act Economy and Society Act (Amendment) • Act on Organization to • Data Privacy Act Assign Radio Frequency • National Cyber and Regulate Broadcasting Security Act and Telecommunication Act (Amendment) • Electronic Transaction Development Agency Act 5
In the Beginning (3): No clear definition of Digital Economy Interim: Working Definition Digital economy is defined as the economy and society in which digital technologies are key enablers to the transformation of such basic activities as manufacturing, trade and services, learning and education, healthcare, public administration, and so on so forth, ultimately leading to job creation, economic growth, and social well- being. 6
In the Beginning (4) Selective Working Group National Digital Economy Committee NDEC Secretariat - Knowledge Center - Project Mgt. Service Digital Economy Hard Infrastructure Soft Infrastructure Digital Society Infrastructure Promotion Lifelong National Broadband Standard Digital-Government Digital Commerce Learning Digital Archive Cyber Security Data Centers Service Platforms (+ Digital Library) & Privacy Digital Entrepreneur International Gateways Digital City Laws E-Logistics Digital Innovation National Broadcast Media Critical Infra. Data Service Literacy Digital Content Services Innovation Satellite Universal Design/Universal Healthcare Radio Frequency Management 7
Thailand Digital Economy and Society (DE) Development Plan
20-Year Thailand Digital Landscape Phase 3 Digital Thailand II: Phase 1 Full Transformation Digital Foundation Driving the country with Investing and building digital technology and digital foundation innovation 1 Year 6 Months 10 Years 5 Years 10-20 Years Phase 4 Phase 2 Global Digital Leadership Digital Thailand I: Inclusion Leading with digital technology and innovation Ensuring everyone can reap the benefits of (Becoming a developed digital technology country) 9
6 . Build trust and confidence in the use of digital 1 . Build country- technology wide high- capacity digital Updating laws and regulations, Encouraging infrastructure investments, Ensuring Ensuring accessibility, security availability, and affordability 5 . Develop workforce for the digital era 2 . Boost the Developing skilled workforce, Creating jobs economy with Building strength from digital within technology Driving New S- Strategies Curve, Raising Competitiveness, Building new 4 . Transform into businesses, Creating values digital government 3 . Create a Creating open government, Facilitating people and knowledge- businesses, Integrating into driven digital One Government society Building participation, Ensuring inclusive and equal usage
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Ministry of Digital Economy and Society • Suggest and administer and manage the policy on harnessing the benefit of digital economy and society to lead to concrete action • Promote and encourage cooperation, domestically and abroad, in order to have efficient and comprehensive development and usage of digital technology in all sectors • Promote and develop the ecosystem for Digital Economy and Society Development and Digital Competency for increasing potential and competitiveness of the country • Follow up the performance under policy on developing the Digital Economy and Society
Institutional Framework in accordance with Digital Economy and Society Development Act The National Digital Economy and Society Commission Digital Economy and Society Development Fund Management Committee Prime Minister – Chairman • Approve Policy/Strategy Commission • Considerinitiativesand projects Deputy Prime Minister - Chairman • Digital Infrastructure Digital Economy and Society Promotion Fund Management for Digital Committee and Development Committee Economy and Society Development Digital Economy and Society National Digital Economy and Society Development Policy Development Fund • Publish as a Royal Command, and publish in the Government Gazette Policy Fund Resources: Government / • Implementation by all government agencies, and budget preparation by NBTC ( maximum 5,000 million Bureau of the Budget to ensure that the budget fits government policy THB/year ) , etc. Office of the National The Digital Economy Promotion Agency Digital Economy and Society Commission (ONDE) (DEPA) • Established: 16 September 2016 • Established: 25 January 2017 Agencies • Secretary of the commission and 3 committees • Promote and support digital and innovation • Manage and enhance the cooperation and integration related to industry • Promote the adoption of digital technology Digital Economy and Society development
Talking about plans 1.Digital Economy and Society Development Plan (20 years) Digital Infras/Promotion Committee 2.DE Action Plan DEPA Commission Approve ( 5 years) Approve Align Align Draft 3.DE Promotion Plan Draft 4.Sectoral Policy/Strategy ONDE (According to DE Law) Align Draft Align สอดคล้อง Align 5.DEPA Strategic Plan 6.MDES Strategic Plan Announce Approve DEPA Commission 17
Conclusion and Discussion • Political influence – Top-Down with DE Champion – National Direction and Alignment – Funding for Mega Projects • Implications of DE Legislation – New ecosystem to drive Digital Economy – Stability and Continuity vs Flexibility • Effectiveness Implementation and coordination – Supra-ministerial commission (and secretariat) – DE Fund – Other ministries 18
AGENDA:
THANK YOU
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