The Internet and socio-economic development Exploring the interaction

London School of EconomicsAbstract

In this paper, we attempt to gain an understanding of the current and potential impact of theInternet on the four-fifths of the world’s population living in developing countries, two-thirdsof them poor. First, we attempt to put today’s rapid advances in information andcommunication technology in a broader debate about development and the role of information. Next, we explore the interaction between the Internet and key dimensions of developmentusing empirical data to support the argument that the Internet can only become a tool forsocio-economic development if it is applied in a way that will benefit society at large andvulnerable groups in particular. Finally, we discuss some key policy implications of Internetdiffusion and usage which governments of developing countries will have to address. Theseinclude enabling the creation of relevant knowledge on the Internet and the acquisition of thenecessary skills and capabilities to use the technology in a way that is compatible with the localculture.

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Introduction

The importance of expanding the access of developing countries to the Internet has beenrecognised by governments and international agencies with increasing consensus that theInternet and related telecommunications technology should be regarded as strategic nationalinfrastructure (Kenney, 1995; Mansell & Wehn, 1998). This has led to significant rates ofincrease in the regional distribution of Internet host connections over the last few years asreflected in the figures of regional Internet hosts in January 1998 shown in Table 1. Theestablishment of such strategic infrastructure is considered critical for developing countrieswhere the marginal impact of improved network communications can be very high, leading toimproved economic productivity, governance, and education, health and quality of life,particularly in rural areas (Adam, 1996; Press, 1996). For example, in Africa, the growth ofsmall scale, low cost electronic networks has been influential in building an academic andresearch community within the continent that discusses and shares topics of concern (Adam,1996; Panos, 1998). Another example is the networking project launched by theCommonwealth Secretariat in 1990 called COMNET-IT. The project aims to improvegovernment collaboration within the commonwealth group of countries using electronicnetworks to facilitate the sharing of data on administrative reform experiences (Qureshi &Cornford, 1994). These findings suggest that wider connectivity within developing countrieswould improve the overall information infrastructure in these countries and thereby promotepositive changes in socio-economic development.

Despite the increases in the provision of information services that are available through theInternet for users in the developing world, there is considerable scepticism regarding thepotential of the technology for socio-economic development. For example, most Internetdiffusion statistics, although impressive, tell us little about Internet density since they do nottake into account the size of the population in each country or region. More recently, Harris(1998) computed rates of Internet density by taking into account the size of the population ineach region. His figures, shown in Table 1, reveal that North America has 168 times thenumber of hosts than Africa, but that Africa has 396 times the number of people per host thanNorth America. Even when Internet access is available, Mansell (1998) argues that the valueof a technology that permits communications with a distant correspond across the world is oflimited use to someone grappling with the day to day problems of poverty and hunger. Another fear often expressed in the literature is that the poor financial, technical and humanresources in developing countries would perpetuate further ties of dependency such thatdeveloping countries would be kept economically subservient by the need for westernequipment and expertise (Wehn, 1998).

In this paper, we examine the extent to which the knowledge and information revolutionmanifested today in the Internet will affect the quality of life of more than 4bn. people indeveloping countries, particularly the poorest and most vulnerable among them. Connectingcountries is just the beginning and, though expensive, perhaps the easiest part. Individuals,organisations, even countries must have the incentives and the capabilities to use informationeffectively. Especially for the poor and vulnerable, strengthening their capability to receive anduse knowledge will require special effort, and knowledge that comes from outside will need tobe adapted to fit local contexts and needs. This perspective suggests that development mustfocus on alleviating poverty and on creating a social environment that is conducive forproviding universal access to basic welfare systems. This view differs significantly from the

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traditional form of development in terms of stages of economic growth. The impact of thetechnology should therefore not be measured in terms of the number of connected individualsalone, but also in terms of accessibility and contribution to social progress (Uimonen, 1997).This paper is organised as follows. The next section traces the evolution of developmentthinking discussing the role of information and knowledge in achieving more sustainable,equitable forms of human development. Section three raises key issues related to the diffusionand usage of the Internet in developing countries in terms of various dimensions ofdevelopment discussed in section two. The final section explores some policy directions forgovernments in developing countries in terms of creating, disseminating and using the Internetin a locally-relevant way.Trends in development thinking

Behind every policy intervention lies some theoretical assumption, either overt or covert,about the nature of development. In this section, we trace the evolution of these assumptionsand aim to develop a conceptual framework to guide us in categorising issues of relevance inthe interaction between the Internet and socio-economic development.

There has been considerable debate over the definition, explanation and practice ofdevelopment over the past few decades. The earliest theoretical approach was the notion ofdevelopment as an evolutionary experience. It was assumed that developing countries shouldaspire to achieve the type of society that existed in the developed world by passing through anumber of stages of economic growth similar to those which the countries of western Europehad experienced (Rostow, 1960). The goal of development was conceived of primarily interms of economic growth measured using national income indicators (Hettne, 1990). During the 1960s and 1970s, there was increasing evidence to suggest that while a fewdeveloping countries managed to increase their growth rates and restructure their economies,the majority were unable to achieve such results plagued with increased poverty, growingindebtedness, political repression, social inequality, displacement of traditional values, andenvironmental damage (Conyers and Hills, 1984). This evidence led to the realisation that oneof the main causes for underdevelopment was dependency from two perspectives. First, interms of the ability of an independent developing society to make decisions within theprevailing international power stucture. Second, in terms of social equity within thedeveloping country by empowering the poor with basic needs for human development(Rodney, 1972; Amin, 1974). These experiences resulted in a redefinition of the goals ofdevelopment with much greater emphasis on non-economic aspects. Hence, developmentcame to be conceived of and measured not only in economic terms, but also in terms of socialwell-being and political structures, as well as in terms of the physical environment (UNDP,1991). This has led to a broader conception of human development in the UNDP Reports onHuman Development published annual since 1992 which have increasingly taken into accountalternative dimensions of development such as human autonomy, equity, sustainabledevelopment, empowerment, and cultural identity.

The emergence in the 1970s of the neo-populist tradition forcefully articulated by non-government organisations and others gave much importance to the views, desires and

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ambitions of those about to be developed. Such views offered an alternative developmentstrategy to the linear growth model. This alternative view was based on the notion thatdeveloping countries have their own trajectory of development which did not necessarilyfollow the same pattern as experienced by the advanced, industrialised countries (Hettne,1990). The neo-populists argued for the retention of traditional peasant agricultural systemsand small-scale enterprises, on direct policies aimed at reducing poverty among target groupsof the population, and on local sustainable development projects. For example, JuliusNyerere’s attempt to establish a revitalised and improved traditional African socialism inTanzania in the 1960s and 1970s is a good example of neo-populism in action. Similarly, thebasic needs policies implemented by national governments and international agencies duringthe 1970s gave higher priority to redistribution of wealth through programmes directed atpoverty alleviation, rather than economic growth. The main message of the sustainabledevelopment movement that arose in the 1970s and 1980s was that development depended onthe ecology and culture of the locality rather than on a western model of economic growth. More recently, in the context of Africa, McGeary and Michaels (1998) observe that a newspirit of self-reliance is taking root among many Africans as they seize control of their destinythrough local models of development.

New information and communication technologies manifested today in the Internet emerge asa new challenge for developing countries. This challenge has been perceived in two relatedways. First, information has begun to be projected as the `engine’ of developmentcommensurate with traditional stages of growth definition of economic development. Thisnotion is based on a broad vision regarding a new stage of development centred around theproduction, diffusion and usage of information and communication technologies throughoutsociety - a vision first took hold in the United States in the 1960s against a context ofincreasing prosperity and automation. (Bell, 1973; Castells, 1989; Castells and Hall, 1996). Inrecent years, many writers have begun to calculate the extent to which individual nations hadachieved `knowledge societies’ using indices related to the consumption and production levelsof information technology, including an Internet host index (Kenney, 1995; Mansell andWehn; 1998). This model of development has resulted in telecommunications and globalnetworks becoming important issues for discussion amongst government policy-makers andinternational agencies (Panos, 1995; Press, 1996).

Second, there has been increasing recognition that the achievement of more sustainable,equitable forms of human development does not depend on the existence of internetconnections alone, but on the acquisition and usage of information and knowledge (Talero andGaudette, 1995; Rogerson and Itoh, 1998; Mansell, 1998). The recent World DevelopmentReport examines the role of knowledge in promoting socio-economic development. It beginswith the realisation that economies are built not merely through the accumulation of physicalcapital and human skill, but on a foundation of information, learning and adaptation. It istherefore necessary to understand how societies acquire and use knowledge in variousdimensions of development (WB, 1999). Incorporating a multi-faceted approach todevelopment, Press (1997) brought evidence to show a positive correlation between thenumber of Internet hosts in a country and the UNDP Human Development Index.

While complex development goals cannot be solved by the existence of Internet connectionsalone, it is undeniable that some kind of interaction between the diffusion and usage of thistechnology and development is occurring. As increasing amounts of information about

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scientific and technological developments are now available only on the Internet, thistechnology appears to have opened up new options that influence the character of socio-economic development. At the same time, the political, social and cultural values embeddedwithin development goals are shaping the development and use of the technology. It is thischicken and egg interaction between the Internet and socio-economic development that will beexplored in the remainder of this paper.

Internet usage in developing countries - Key issues

As the use of the Internet widens beyond the research and academic community, itsdevelopmental impact on developing countries needs to be closely monitored. This sectionexplores the interaction between various dimensions of development discussed in the previoussection and Internet usage. We discuss these issues under the broad dimensions of economicproductivity, telecommunications infrastructure, social equity, cultural identity, empowermentof marginalised groups, democracy, and sustainable development.

Economic productivity and infrastructure developmentCommercial connections are the fastest-growing component of the Internet today asmore and more companies are establishing closer links with customers, businesspartners, vendors, and information resources via the network (Press, 1996). However,to date, there is little research carried out about the impact of Internet usage bycommercial organisations in developing countries although many commentators havespeculated that the Internet represents a tool for improved economic productivity. Forexample, the World Bank estimates rates of return to the local economy of between 13and 20% (World Bank, 1995). Jayaram et al., (1997) predict that the Internet willenable local companies to market their products and services abroad and therebyovercome one of the most important barriers to global competitiveness facingdeveloping countries. They observe that while companies in India find it prohibitivelyexpensive to advertise extensively in print publications, advertising on the Internet isrelatively cheap. Along similar lines, in a recent study on Argentina, Buttazzoni (1997)reports that while the total number of Argentinean companies that have set up web sitesrepresents only a small proportion of the total number of businesses in the country, thesecompanies are gaining greater exposure in the global market. Network connections alsopromise improved regional collaboration and competitiveness in trade and research. TheCommon Market for Eastern and Southern Africa (COMESA) and the United NationsConference on Training and Development (UNCTAD) have both commented on thepositive potential impact of trade information networks on interregional andintraregional trade (Adam, 1996).

However, despite the potential of Internet connectivity for commercial activity, there isevidence to suggest that the return on investment in information technology investmentin developing country organisations is poor. For example, a recent survey carried out byDewan and Kraemer (1998) reveals that together with investment in informationtechnology, there is need to ensure that organisations have the capacity to restructurethemselves to promote efficiency and effectiveness. Countries with strong managerialcapabilities such as the newly industrialising economies of SE Asia have been able to

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acquire and retain competitiveness and build adequate bases to keep up with the pace ofprogress by devoting major efforts to investigate indigenous managerial trends(Montealegre, 1996). These findings suggest that more research is needed on the waythe Internet is influencing economic activities, on how skills and capabilities can be builtup to tackle local and national problems, and on why some initiatives to use the Internetsucceed while others fail.

HealthWe are beginning to witness the application of networks to healthcare in developingcountries. One such example is HealthNet which links health care workers in 16 Africancountries and 4 Asian countries with each other and with colleagues and databases indeveloped countries using a variety of communications protocols (Panos, 1995; Panos,1998). The network provides e-mail, a list server, electronic publications and databaseaccess. Another example is the Programme for Monitoring Emerging Diseases mailinglist established during the recent Ebola virus outbreak in Zaire by 60 researchers inSeptember 1993. Today, the network has over 1600 members in 80 countries. The listfirst heard of the outbreak in 1976 and circulated information from various internationalhealth organisations. Information was passed to and from affected countries helping tocontrol the spread of the virus and to treat the disease. For example, Zambia was ableto use the Internet to check details about similar cases in the Copperbelt region of thecountry (Press, 1996). In general, most connectivity that takes place in HealthNet isfrom developing countries to information resources in developed countries. Intranational connectivity amongst developing countries themselves is still very sparsealthough one can imagine many useful networking health applications in developingcountries where barefoot doctors and other paramedics serve poor communities andrural areas.

An increasing number of Internet sites concerned with health matters in Africa appear tobe relevant for the achievement of long-term socio-economic development. Forexample, Asiru (1998) recently analysed data from a random search of 100 Internet sitesconcerned with health matters in sub-Saharan Africa. He found that 58% of the siteswere sponsored or funded by non-government organisations that had strong links withAfrican communities and academics.

EducationNetworks in developing countries have usually started in the university and researchcommunity where their impact has been positive. For example, a survey undertaken inEthiopia, Uganda, Zambia and Senegal on the impact of electronic communicationstechnology shows that academic and research institutions have been able to conductjoint projects effectively, improve resource mobilisation, and carry out research betweendistant sites inexpensively (NRC, 1996).

The use of networks for primary and secondary schools has also revealed someinteresting examples. Two countries which have good examples of education networksare Cuba and Chile. Both have strong records of investment in human capital and havecontinued allocating resources to education networking. For example, in 1992, the

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Catholic University in Chile embarked on a five year project to develop and evaluate anelementary school network. Today, there are 144 networked schools each havingbetween 3 and 10 computers and an Ethernet, some gaining connectivity to the Internet.The network provides a variety of services – student and teacher newsletters,educational software, curriculum notes, computer conferences, e-mail, and access todatabases. The network has been evaluated and shows a significant effect on studentcreativity. With World Bank funding, the goal is to reach all secondary schools and halfof all primary schools in the country by 2000. Cuba’s school networking project begunin 1987 and stressed grassroots participation of schools in rural areas. There are now150 centres spread around the country, 80 of which have modems used to dial into PCsrunning Unix in Havana for onward connection to the Internet (Press, 1996).

In recent years, there has been increasing interest in the use of electronic networks tosupport distance learning around the world by enabling computer-media conferencingand collaborative learning to take place, and by providing access to electronic librariesand to the multimedia education market (Hall, 1996; Panos, 1998). Distance learninghas been earmarked as especially relevant for developing countries where there is a needto educate large numbers of geographically dispersed people (UNESCO, 1985). However, at the same time, some commentators have argued that the generation ofdistance learning material is capital intensive, and may therefore lead to the exclusion ofthe mass of the population in developing countries from this form of education (Bates,1993).

Poverty alleviationHarnessing networks to deliver benefits in developing countries means ensuring thatthose facilities are responsive to the poorest and most disadvantaged communities. Electronic communication can assist in the management of crises and in povertyalleviation. One such effort is the Greater Horn of Africa Electronic CommunicationsNetwork project funded by the United States Agency for International Development(USAID) which aims to link member states of the region in order to exchange crisis-related information. Another potentially beneficial area for the application of electronicnetworks relates to the problem of food insecurity in Africa. One of the main problemscharacterising the African economic situation is food insecurity which contributes tolocal competition for resources between groups often resulting in civil war. Electronicnetworking can deliver critical information to farmers, extension workers andresearchers fighting crises caused by famine (Adam, 1996; Panos, 1998).

In terms of poverty alleviation, the Village Internet Programme of the Grameen Bank inBangladesh aims to promote poverty alleviation by reducing migration from villages tocities, creating IT-related job opportunities for the rural poor, and by creating familiaritywith computers among the rural population of the country (Grameen Bank, 1998). Another example is the Honey Bee network established in 1990 as a pilot experiment inIndia. This electronic network aims to create a repository of indigenous knowledge andto link knowledge-rich grassroots innovations within a region in order to promoteactivities within poor communities which are both economically and ecologically viable. Green technologies such as herbal pesticides, herbal drugs for animals and humans, andvegetables dyes are only some of the ideas in which the network is very rich (Gupta,

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1997).

Of key importance for the poor in developing societies is not merely the provision ofconnectivity or access to knowledge, but whether relevant knowledge is disseminated(Mansell, 1988). Indigenous knowledge concerning health, education, and povertyalleviation is rarely documented but it is a useful resource for the creation,dissemination, and adoption of new technologies.

Empowerment of marginalised groupsThe Internet offers an opportunity for direct communication between developingcountries and many activists and non-governmental agencies (NGOs) that share politicalgoals are connected into the electronic web. There are many examples of activists whohave used the Net to help empower marginalised groups throughout the world and haveestablished grassroots nets for this purpose by posting debates and policies on bulletinboards in order to solicit responses and organise protests. In another example, NGOwomens’ group charities use e-mail to keep in touch with women in Bosnia. It can beextremely difficult to make a phone call to find out what aid they need, but e-mail keepson trying until it finds a route to deliver the message (Annis, 1991; Frederick, 1994).Perhaps the organisation that has really helped to empower marginalised groupsthroughout the world is the Association for Progressive Communications (APC) whichhas been a leader in co-ordinating the development and operation of networks devotedto peace, ecology, human rights, and other `progressive’ causes since 1989 (Frederick,1994). The APC network has become the main medium through which NGOs obtainreports and official documents to intervene in policy-making. By August 1995, therewere 18 member networks serving over 31,000 activists, educators, and NGOs in over133 countries. In September 1995, APC was granted Consultative Status Category 1with the Economic and Social Council of the UN enabling the organisation to have apermanent representative at the UN assembly.

Web upon web of grassroots groups are forming as poor people are not only betterorganised, but better connected to each other, to the state, and to people abroad. Thesenew social networks which are enforced by new electronic connections can generatepowerful channels of political expression. However, further research is needed toindicate to what extent these knowledge networks have contributed to development indifferent countries.

DemocracyThe prevalence of democratic institutions in a country is considered a key criterion forsocio-economic development as reflected in the recent development indices. Somewriters have argued that Internet connectivity promotes democracy (Press, 1996;Mueller & Tan, 1997). Mueller and Tan assume that the Internet encourages democracyby providing people living under dictatorship with outside information and ideas, and byenabling them to share ideas and to coordinate political activity within their countries. For example, during the attempted coup in the Soviet Union in August 1991, APC set

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up links through the Baltic States onto NordNet in Sweden and then onto the Londonbased GreenNet which in turn kept an open link with the rest of the APC networkallowing information flow from Moscow and Leningrad. Along similar lines, the Nethas been used for both inter and intranational communication during events in Tiam AnMen Square in 1993. It is precisely the difficulty of political censorship on the Net thathas been an invaluable tool for activists and journalists involved in sensitive politicaltopics.

However, this freedom of expression made possible via the Internet poses a seriousdilemma for authoritarian regimes as it threatens to undermine their control structures. In many parts of the world, strong government control exists on electroniccommunication. For example, in China, Singapore and Vietnam plans have beenannounced to control information that the Internet brings to their territory. China’s Postand Telecommunications Minister announced that by linking to the Internet, absolutefreedom of information is not intended. But it remains unclear how China plans toachieve this (Clough, 1996; Mueller & Tan, 1997). Singapore plans to introduce two orthree levels of filters applying different levels of censorship for academics, businesspeople and the general public.

Research needs to be carried out to explore the link between the openness ofinformation and democracy. Improved telecommunications and the Internet underminethe capabilities of authoritarian governments to restrict flows of information.

Sustainable developmentThe UN Conference on Environment and Development held in 1992 saw an

unprecedented level of involvement from international agencies and NGOs in policy-making. For example, the UNDP is currently involved in the Sustainable DevelopmentNetworking Project for linking users and suppliers of information on sustainable

development. The programme has helped to provide information to some governmentson environmental hazards such as haw to safely dispose of toxic material. The UN hasrecently commissioned a feasibility study for setting up a sustainable developmentnetworking project in China (UNDP, 1995).

Another example of Internet usage promoting global policy was in 1994 followingClinton’s announcement that he was about the sign the convention on biodiversity.Indian environmental activists hijacked the convention that was for the benefit of

industry after they had received a draft copy of the announcement over the Net. Theseactivists contacted the Malaysian office of a development media organisation and theirmessage was posted on various bulletin boards on the Net. Almost immediately, protestfaxes and e-mail messages from NGOs around the world were being sent to the WhiteHouse.

Today, the Internet is playing a significant role in creating awareness about issues ofsustainable development. For example, the rapid and concentrated economic growth ofthe type occurring in urban centres in developing countries is often at the expense of theenvironment. For example, UNESCO is commissioning research institutes around theworld to focus attention on the key issues of managing megacities in developing

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countries. These issues are being electronically documented and it is expected that by2000, the database of core issues would have reached a signicant size to be offered tothe president of UNESCO. The Internet will be used to stimulate and organise an easyexchange between workers in the field, including scientists, planners, UN experts andconsultants (Madon and Sahay, 1998).

Economic productivity, telecommunications infrastructure, self-determination, social equity,welfare, empowerment, democracy and sustainable development form the major componentsof socio-economic development. This section has provided a systematic way of categorisingthese development imperatives discussing each one in terms of its interaction with Internetusage.Discussion

In this paper, we have explored the current and potential possibilities of using the Internet indeveloping countries. By analysing some of the issues to be considered within the widerframework of key development imperatives, the author hopes to sensitise policy-makers on theissue of social responsibility in the creation, dissemination and usage of knowledge. Drawingon the accumulated research on the social uses of technology (Castells, 1996; Ciborra, 1996),we argue for the need to consider the technology as malleable, and thus adaptable to the localcontext. In this section, we outline areas where governments could play a role in adaptingInternet technology in a way that will benefit the nation within the international powerstructure and benefit vulnerable groups to create more equitable development.

The first area is in creating knowledge. For developing countries, there are major trade-offsbetween creating knowledge locally and acquiring it from abroad. Just because a very largeand rapidly increasing stock of knowledge can be tapped quickly through the Internet the issueat stake is the extent to which developing countries should focus primarily on the acquisition,dissemination and use of globally available knowledge or promote the generation ofindigenous knowledge. Most of the Net's key resources such as software, informationlibraries, e-mail and newsgroup services are in English. In countries where only a minorityspeak English there appears to be a real need to localise interfaces to promote a moreequitable network usage (Keniston, 1997). For example, the language question is keenly felt atpresent in Latin America where indigenous information in Spanish is available on the Internetbut foreign sources are likely to be in English. As Internet usage widens beyond the researchand academic community, the problem may be serious because the vast majority of the world’spopulation who do not and will not in the foreseeable future speak English will be excludedfrom the system.

Many writers argue that indigenous knowledge systems need to become a fundamentalbuilding block for the future transformation of societies not only in developing countries butalso in advanced countries (Mundy and Compton, 1995; Mansell, 1998). These systemswhich enable economically poor people to survive have involved blending secular with sacred,reductionism with holism, short term options with long term options in material as well asnon-material pursuits. The higher the physical, technological, economic, and social stress, thegreater the probability that disadvantaged communities have been able to generate innovativeand creative alternatives. However, these innovations have often remained isolated and

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unconnected and there is need to establish a network for indigenous knowledge in thevernacular language. The World Bank has responded to this challenge by devoting the 1998World Development Report to exploring the extent to which developing countries shouldinvest in developing indigenous knowledge rather than making effective use of the rapidlyincreasing stock of global knowledge (World Bank, 1999)..

A second area for government action lies in disseminating knowledge. Government policy forthe dissemination of externally and internally generated knowledge needs to be reviewed.Attention should be given to the openness of global knowledge flows, and to the standardsand regulations for the telecommunications industry. Issues of market structure, privateownership, regulation in telecommunications need to be investigated with special emphasis onensuring greater access for groups and individuals who have not had access to basictelecommunications services, despite long-standing government policies that espouse universalaccess. A few studies on Internet usage in developing countries have focused on issuesrelated to the inadequacies of the telecommunications infrastructure and the need for majorinstitutional changes in telecommunications infrastructure in developing countries in order topromote usage of the Internet (Ahmad et al.,1996; Barry, 1996; Chapelier, 1996). However,as telecommunications industries in developing countries open up to competition, there isincreasing concern about the goal of universal access for those who cannot afford to pay foraccess or who live in remote areas where it is simply not profitable to provide a service. Somewriters argue that liberalisation should take place only after basic communication needs of themajority of the population have been satisfied. However, recent experience calls into questionthis trade off between universal access and liberalisation. The counter-argument is thatdemands for universal access and advanced telecommunications services are complementaryand therefore attracting private capital is a necessary prerequisite for network development. Several projects have been embarked upon involving foreign telecommunications operatorsthrough regulatory bodies (Panos, 1997).

Using the Internet, possibilities are beginning to exist for increased self-determination ofindividual developing countries and regions within the prevailing international power structure. For example, communication between journalists in developing countries is becoming moreprevalent without having to filter news through agencies in advanced industrialised countries.The Pan African News Agency has recently been re-launched from Dakar in Senegal andintends to use the Internet for communication within the region. In 1995, the agency wentonline and soon expects to have a web page. In Zambia, the Lusaka Post is one of twonewspapers available on the web which can be read from anywhere in the world therebyincreasing its readership and profile (Panos, 1995).

A third area for government action relates to human resource development for network users.Countries need some capabilities even to follow, assess and select from the global stock ofknowledge. Network technicians, while in short supply in developing countries, are beingtrained in universities and at workshops (Mansell, 1998). But the toughest challenge istraining users. The most important networking resource in the US is the user community - themillions of students and office workers who are familiar with the components and capabilitiesof the computer. These people can easily make the technical and conceptual shift to theInternet. However, the advanced industrialised countries have had some twenty years sincethe introduction of the commercial personal computers to achieve this level of awareness. Interms of creating awareness amongst the general public in low-income countries, policy-11

makers need to decide what level of education deserves most investment in developingcountries – primary schools or university? Since literacy drives the information revolution,this would suggest that significant resources need to go to early education. including cost, theneed for literacy and technological know-how, and the dominance of English as the Internetlanguage of choice, it is feared that access to this technology is likely to remain the domain ofa privileged elite in developing countries (Song and Akhtar, 1995; Mohammadi and Youngs,1998).

Basic development projects can serve as a channel for the transfer of information andcommunication skills to the poor (Annis, 1991). A typical development project todayconcentrates more on training, data handling, software, monitoring and management, andrelatively less on hardware and equipment. While most of these projects are designed todeliver services, few are analysed as a means to transfer information or technology to thepoor.Conclusion

The debate over the impact of the Internet on developing countries is not a discrete semanticdebate conducted by academics, but has a direct impact on the lives of billions of people. Developing countries who are eager to explore the commercial application of the Internetcannot afford to ignore the social implications of the Internet. The success of the Internetshould be measured less in terms of sheer numbers of connected individuals and more in termsof accessibility and contribution to social progress.

Beneficial use of the Internet demands investment in underlying technical infrastructure. Italso means investment is social infrastructure and skills to use the technology in a way that iscompatible with local circumstances, cultures and abilities. Governments in developingcountries will therefore have to make a special effort to address these issues through policiesthat give the poor better access to knowledge on the Internet, and help them acquire the skillsand capabilities to make effective use of it. It is important to note that the term developingcountries refers to a large category of diverse nations. The same strategy of Internet diffusionand usage therefore cannot be applied across the board, though groups of countries with theneed for similar strategies could perhaps be identified. Thus, greater country to country co-operation to take advantage of the broad range of lessons should be a primary goal. Apartfrom commercial usage, examining the social impact of the Internet should be a frontier inresearch for the next decade. This requires combining analysis of economic indicators withother dimensions to investigate how rapid diffusion and usage of the Internet affects the socialfabric of developing countries in terms of alleviating poverty, improving access to health careand education, conserving and fairly distributing resources, and strengthening participation indecision-making processes.

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Table 1Rates of increase in Internet host connections in developing countries

Region

North AmericaLatin AmericaWestern EuropeEastern EuropeMiddle EastAfricaAsiaPacificTotalNo. of Internet hosts21,540,474 241,898 4,793,544 350,117 73,060 128,570 1,705,240 836,70829,669,611

Internet Domain Survey, January 1998

Table 2Regional distribution of Internet host density

North AmericaLatin AmericaWestern EuropeEastern EuropeMiddle EastAfricaAsiaPacific

Hosts21,540,474241,8984,793,544350,11773,060128,5701,705,240836,70829,669,611Population `000

285,940448,688408,675322,697138,927661,0623,016,94053,4355,336,164People per host

1318558592219025142176964180

Source:Compiled by Harris (1998) using figures of Internet hosts from Internet Domain Survey, January 1998 andworld population statistics taken from the World Bank Atlas.

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