Publication:
A Demand-Side View of Mobile Internet Adoption in the Global South

Loading...
Thumbnail Image
Files in English
English PDF (1.68 MB)
1,238 downloads
English Text (109.64 KB)
62 downloads
Published
2021-03
ISSN
Date
2021-03-25
Author(s)
Editor(s)
Abstract
Mobile technologies show great potential to accelerate internet access and usage, especially in developing countries. A better understanding of key drivers and main constraints for mobile internet access is the first prerequisite for governments to design targeted policy solutions. This study exploits a household survey that collects information on information and communications technology access and usage at the household and individual levels in 22 countries in the Global South. The study finds that in addition to infrastructure investment, which has been the main focus of many developing countries, other demand-side factors are of critical importance. Across the developing world, females, the elderly, those who live in rural areas, and those who have a relatively low level of income or education are less likely to adopt mobile internet. Social network effects are found to have a significant positive impact on the usage of mobile internet. Those who have more close friends using an online social network are more likely to adopt mobile internet. Individuals whose five closest friends are using an online social network (such as Facebook or Twitter) are 63.1 percent more likely to adopt it than those without any close friends using such online social network sites/apps. Across regions, although the factors affecting the adoption of mobile internet remain largely the same, the magnitudes of their impacts vary. In Asia, gender differences are negatively associated with mobile internet. In Africa, the impact of education level is more salient than in the other two regions, implying an urgent need to improve digital literacy.
Link to Data Set
Citation
Chen, Rong. 2021. A Demand-Side View of Mobile Internet Adoption in the Global South. Policy Research Working Paper;No. 9590. © World Bank. http://hdl.handle.net/10986/35302 License: CC BY 3.0 IGO.
Associated URLs
Associated content
Report Series
Report Series
Other publications in this report series
  • Publication
    Global Poverty Revisited Using 2021 PPPs and New Data on Consumption
    (Washington, DC: World Bank, 2025-06-05) Foster, Elizabeth; Jolliffe, Dean Mitchell; Lara Ibarra, Gabriel; Lakner, Christoph; Tettah-Baah, Samuel
    Recent improvements in survey methodologies have increased measured consumption in many low- and lower-middle-income countries that now collect a more comprehensive measure of household consumption. Faced with such methodological changes, countries have frequently revised upward their national poverty lines to make them appropriate for the new measures of consumption. This in turn affects the World Bank’s global poverty lines when they are periodically revised. The international poverty line, which is based on the typical poverty line in low-income countries, increases by around 40 percent to $3.00 when the more recent national poverty lines as well as the 2021 purchasing power parities are incorporated. The net impact of the changes in international prices, the poverty line, and new survey data (including new data for India) is an increase in global extreme poverty by some 125 million people in 2022, and a significant shift of poverty away from South Asia and toward Sub-Saharan Africa. The changes at higher poverty lines, which are more relevant to middle-income countries, are mixed.
  • Publication
    The Macroeconomic Implications of Climate Change Impacts and Adaptation Options
    (Washington, DC: World Bank, 2025-05-29) Abalo, Kodzovi; Boehlert, Brent; Bui, Thanh; Burns, Andrew; Castillo, Diego; Chewpreecha, Unnada; Haider, Alexander; Hallegatte, Stephane; Jooste, Charl; McIsaac, Florent; Ruberl, Heather; Smet, Kim; Strzepek, Ken
    Estimating the macroeconomic implications of climate change impacts and adaptation options is a topic of intense research. This paper presents a framework in the World Bank's macrostructural model to assess climate-related damages. This approach has been used in many Country Climate and Development Reports, a World Bank diagnostic that identifies priorities to ensure continued development in spite of climate change and climate policy objectives. The methodology captures a set of impact channels through which climate change affects the economy by (1) connecting a set of biophysical models to the macroeconomic model and (2) exploring a set of development and climate scenarios. The paper summarizes the results for five countries, highlighting the sources and magnitudes of their vulnerability --- with estimated gross domestic product losses in 2050 exceeding 10 percent of gross domestic product in some countries and scenarios, although only a small set of impact channels is included. The paper also presents estimates of the macroeconomic gains from sector-level adaptation interventions, considering their upfront costs and avoided climate impacts and finding significant net gross domestic product gains from adaptation opportunities identified in the Country Climate and Development Reports. Finally, the paper discusses the limits of current modeling approaches, and their complementarity with empirical approaches based on historical data series. The integrated modeling approach proposed in this paper can inform policymakers as they make proactive decisions on climate change adaptation and resilience.
  • Publication
    Gender Gaps in the Performance of Small Firms: Evidence from Urban Peru
    (Washington, DC: World Bank, 2025-09-23) Celiku, Bledi; Ubfal, Diego; Valdivia, Martin
    This paper estimates the gender gap in the performance of firms in Peru using representative data on both formal and informal firms. On average, informal female-led firms have lower sales, labor productivity, and profits compared to their male-led counterparts, with differences more pronounced when controlling for observable determinants of firm performance. However, gender gaps are only significant at the bottom of the performance distribution of informal firms, and these gaps disappear at the top of the distribution of informal firms and for formal firms. Possible explanations for the performance gaps at the bottom of the distribution include the higher likelihood of small, female-led firms being home-based, which is linked to lower profits, and their concentration in less profitable sectors. The paper provides suggestive evidence that household responsibilities play a key role in explaining the gender gap in firm performance among informal firms. Therefore, policies that promote access to care services or foster a more equal distribution of household activities may reduce gender productivity gaps and allow for a more efficient allocation of resources.
  • Publication
    The Exposure of Workers to Artificial Intelligence in Low- and Middle-Income Countries
    (Washington, DC: World Bank, 2025-02-05) Demombynes, Gabriel; Langbein, Jörg; Weber, Michael
    Research on the labor market implications of artificial intelligence has focused principally on high-income countries. This paper analyzes this issue using microdata from a large set of low- and middle-income countries, applying a measure of potential artificial intelligence occupational exposure to a harmonized set of labor force surveys for 25 countries, covering a population of 3.5 billion people. The approach advances work by using harmonized microdata at the level of individual workers, which allows for a multivariate analysis of factors associated with exposure. Additionally, unlike earlier papers, the paper uses highly detailed (4 digit) occupation codes, which provide a more reliable mapping of artificial intelligence exposure to occupation. Results within countries, show that artificial intelligence exposure is higher for women, urban workers, and those with higher education. Exposure decreases by country income level, with high exposure for just 12 percent of workers in low-income countries and 15 percent of workers in lower-middle-income countries. Furthermore, lack of access to electricity limits effective exposure in low-income countries. These results suggest that for developing countries, and in particular low-income countries, the labor market impacts of artificial intelligence will be more limited than in high-income countries. While greater exposure to artificial intelligence indicates larger potential for future changes in certain occupations, it does not equate to job loss, as it could result in augmentation of worker productivity, automation of some tasks, or both.
  • Publication
    Geopolitical Risks and Trade
    (Washington, DC: World Bank, 2025-09-23) Mulabdic, Alen; Yotov, Yoto V.
    This paper studies the impact of geopolitical risks on international trade, using the Geopolitical Risk (GPR) index of Caldara and Iacoviello (2022) and an empirical gravity model. The impact of spikes in geopolitical risk on trade is negative, strong, and heterogeneous across sectors. The findings show that increases in geopolitical risk reduce trade by about 30 to 40 percent. These effects are equivalent to an increase of global tariffs of up to 14 percent. Services trade is most vulnerable to geopolitical risks, followed by agriculture, and the impact on manufacturing trade is moderate. These negative effects are partially mitigated by cultural and geographic proximity, as well as by the presence of trade agreements.
Journal
Journal Volume
Journal Issue

Related items

Showing items related by metadata.

  • Publication
    Determinants and Welfare Impacts of Mobile Internet Adoption in African Countries
    (World Bank, Washington, DC, 2022) Pierola, Denisse; Rodríguez-Castelán, Carlos
    Digital technologies (DTs) are becoming an important mechanism for unleashing inclusive development, particularly across Africa. The rollout of mobile broadband internet (3G) coverage has expanded substantially in several African countries; however, digital divides persist across various groups. The issue of affordability - the combination of low household consumption and the high prices of services - is a main constraint on internet adoption across Africa. Evidence in case studies on Nigeria and Tanzania reveals that greater 3G coverage is associated significantly with higher household consumption, lower poverty rates, and positive labor market outcomes. Policies focusing on reducing household budget constraints, the price of mobile data, and increasing competition in service provision are critical to supporting the expansion of internet access.
  • Publication
    Building Broadband : Strategies and Policies for the Developing World
    (World Bank, 2010) Kim, Yongsoo; Kelly, Tim; Raja, Siddhartha
    This book suggests an ecosystem approach to broadband policy that could help in the design of strategies, policies, and programs that support network expansion, have the potential to transform economies, improve the quality and range of services, enable application development, and broaden adoption among users. To identify emerging best practices to nurture this ecosystem, this volume analyzes the Republic of Korea and other leading broadband markets. It identifies three building blocks to support the growth of the broadband ecosystem: defining visionary but flexible strategies, using competition to promote market growth, and facilitating demand. An important but often neglected building block is demand facilitation. This includes raising awareness about the benefits of broadband and improving affordability and accessibility for the largest number of users. Successful countries have often focused on creating a suite of useful applications that increase the relevance of broadband to the widest base of users. Programs to mainstream information and communication technology (ICT) use in education, health, or government have been common.
  • Publication
    Mobile Internet Adoption in West Africa
    (World Bank, Washington, DC, 2021-03) Granguillhome Ochoa, Rogelio; Rodriguez-Castelan, Carlos; Lach, Samantha; Masaki, Takaaki
    Mobile broadband internet is the main technology through which individuals access the internet in developing countries. Understanding the barriers to broadband adoption is thus a priority in designing policies aiming to expand access and close the digital divide across socioeconomic groups and territories. This paper exploits data from harmonized household expenditure surveys in seven countries in West Africa in 2018/19—a subregion with one of the lowest levels of mobile internet penetration in the world—to identify the main factors that limit mobile broadband internet adoption. Results show that low levels of household consumption and prices of services are two key constraints. One standard deviation increase in household expenditure, about US$65 per capita per month, is associated with a 6.5 percentage point rise in the probability of adoption, while one standard deviation drop in the price of mobile internet services, about US$3.60, increases the probability of adoption by 2.4 percentage points. Other determinants include demographic characteristics (sex, age, language, urban location), socioeconomic features (educational attainment, sector of employment), and other factors linked to policy (access to electricity, ownership of assets, alternative means of internet access). Results are robust to specifications focusing only in areas with mobile internet coverage (3G).
  • Publication
    Fostering a Digitally Inclusive Aging Society in China : The Potential of Public Libraries
    (Washington, DC, 2014-07-08) World Bank
    The World Bank has been supporting this policythrough theprogram China Rural Information and Communications: Technical Assistance on Design and Impact Evaluation, which aims to support the government make decisions about potential scaling up of innovative ICT pilot projects and to generate and disseminate knowledge about the impacts of ICT in rural China. Three activities were undertakenwith a focus on a trio of provinces (Guizhou, Jilin, and Shandong): (a) a demand survey to assess rural ICT access and attitudes; (b) a library study including scoping the status of ICT use in rural libraries; and (c) a limited impact evaluation to examine how ICT interventions have affected rural users.
  • Publication
    Evaluation of Former Yugoslav Republic of Macedonia's Wi-Fi Kiosk Program
    (World Bank, Washington, DC, 2014-12-04) Gelvanovska, Natalija; Viatchaninova, Ievgeniia; Saliu, Artan
    This white paper has been prepared by World Bank s Transport and Information and Communication Technologies (ICT) Global Practice at the request of the MIOA . Delivery of the White Paper is part of a wider package of technical assistance by the World Bank to the Government of FYR Macedonia. The paper starts off by giving an overview of the state of telecom development in rural FYR Macedonia from the standpoint of affordability and availability of the commercial broadband Internet access services for the less advantaged groups of the population. The next section describes the Wi-Fi Kiosk Project outlining its scope, aim, and implementation process while bringing forward publics experiences with respect to the Wi-Fi kiosk use. This section also examines technical parameters related to the Internet usage and demonstrates the problematic of the kiosk maintenance in the remote and rural areas. Section five references specific policy and regulatory measures designed by different government stakeholders with a goal to analyse the approach which has been chosen to ensure availability of the fixed and (or) mobile broadband Internet in the rural areas of the country. The white paper concludes with a set of observations and recommendations aiming to address the sustainability of the results achieved by the Wi-Fi Kiosk Project and to offer next steps to increase rural connectivity in FYR Macedonia.

Users also downloaded

Showing related downloaded files

  • Publication
    Government Matters III : Governance Indicators for 1996-2002
    (World Bank, Washington, DC, 2003-08) Kaufmann, Daniel; Kraay, Aart; Mastruzzi, Massimo
    The authors present estimates of six dimensions of governance covering 199 countries and territories for four time periods: 1996, 1998, 2000, and 2002. These indicators are based on several hundred individual variables measuring perceptions of governance, drawn from 25 separate data sources constructed by 18 different organizations. The authors assign these individual measures of governance to categories capturing key dimensions of governance and use an unobserved components model to construct six aggregate governance indicators in each of the four periods. They present the point estimates of the dimensions of governance as well as the margins of errors for each country for the four periods. The governance indicators reported here are an update and expansion of previous research work on indicators initiated in 1998 (Kaufmann, Kraay, and Zoido-Lobat 1999a,b and 2002). The authors also address various methodological issues, including the interpretation and use of the data given the estimated margins of errors.
  • Publication
    Governance Matters VIII : Aggregate and Individual Governance Indicators 1996–2008
    (2009-06-01) Kaufmann, Daniel; Kraay, Aart; Mastruzzi, Massimo
    This paper reports on the 2009 update of the Worldwide Governance Indicators (WGI) research project, covering 212 countries and territories and measuring six dimensions of governance between 1996 and 2008: Voice and Accountability, Political Stability and Absence of Violence/Terrorism, Government Effectiveness, Regulatory Quality, Rule of Law, and Control of Corruption. These aggregate indicators are based on hundreds of specific and disaggregated individual variables measuring various dimensions of governance, taken from 35 data sources provided by 33 different organizations. The data reflect the views on governance of public sector, private sector and NGO experts, as well as thousands of citizen and firm survey respondents worldwide. The authors also explicitly report the margins of error accompanying each country estimate. These reflect the inherent difficulties in measuring governance using any kind of data. They find that even after taking margins of error into account, the WGI permit meaningful cross-country comparisons as well as monitoring progress over time. The aggregate indicators, together with the disaggregated underlying indicators, are available at www.govindicators.org.
  • Publication
    Measuring Financial Inclusion : The Global Findex Database
    (World Bank, Washington, DC, 2012-04) Demirguc-Kunt, Asli; Klapper, Leora
    This paper provides the first analysis of the Global Financial Inclusion (Global Findex) Database, a new set of indicators that measure how adults in 148 economies save, borrow, make payments, and manage risk. The data show that 50 percent of adults worldwide have an account at a formal financial institution, though account penetration varies widely across regions, income groups and individual characteristics. In addition, 22 percent of adults report having saved at a formal financial institution in the past 12 months, and 9 percent report having taken out a new loan from a bank, credit union or microfinance institution in the past year. Although half of adults around the world remain unbanked, at least 35 percent of them report barriers to account use that might be addressed by public policy. Among the most commonly reported barriers are high cost, physical distance, and lack of proper documentation, though there are significant differences across regions and individual characteristics.
  • Publication
    Governance Matters IV : Governance Indicators for 1996-2004
    (World Bank, Washington, DC, 2005-06) Kaufmann, Daniel; Kraay, Aart; Mastruzzi, Massimo
    The authors present the latest update of their aggregate governance indicators, together with new analysis of several issues related to the use of these measures. The governance indicators measure the following six dimensions of governance: (1) voice and accountability; (2) political instability and violence; (3) government effectiveness; (4) regulatory quality; (5) rule of law, and (6) control of corruption. They cover 209 countries and territories for 1996, 1998, 2000, 2002, and 2004. They are based on several hundred individual variables measuring perceptions of governance, drawn from 37 separate data sources constructed by 31 organizations. The authors present estimates of the six dimensions of governance for each period, as well as margins of error capturing the range of likely values for each country. These margins of error are not unique to perceptions-based measures of governance, but are an important feature of all efforts to measure governance, including objective indicators. In fact, the authors give examples of how individual objective measures provide an incomplete picture of even the quite particular dimensions of governance that they are intended to measure. The authors also analyze in detail changes over time in their estimates of governance; provide a framework for assessing the statistical significance of changes in governance; and suggest a simple rule of thumb for identifying statistically significant changes in country governance over time. The ability to identify significant changes in governance over time is much higher for aggregate indicators than for any individual indicator. While the authors find that the quality of governance in a number of countries has changed significantly (in both directions), they also provide evidence suggesting that there are no trends, for better or worse, in global averages of governance. Finally, they interpret the strong observed correlation between income and governance, and argue against recent efforts to apply a discount to governance performance in low-income countries.
  • Publication
    Design Thinking for Social Innovation
    (2010-07) Brown, Tim; Wyatt, Jocelyn
    Designers have traditionally focused on enchancing the look and functionality of products.