Page 3 - 201904G20Entrepreneurship Newsletter

OECD Gives Policies Recommendations in
the Digital Age

OECD launched “Going Digital: Shaping Policies, Improving
Lives”, a new report on digital transformation, which
identifies seven policy dimensions that allow governments to
shape digital transformation to improve lives. The report also
highlights key opportunities and challenges related to each
dimension, offers new insights, evidence and analysis, and
provides recommendations for better policies in the digital
age.
Access and application: Demand on networks are growing
as more people, things and activities go online. Nevertheless,
network capacity lags behind in many countries. To enhance
access to network, service and data, governments should lower
barriers to trade and investment, promote competition, simplify
administrative procedures and boost connectivity in rural and
remote areas. Most people and organizations use digital tools, only
33% of large and 11% of small firms perform big data analysis. To
increase effective use, policies should empower everyone with a
mix of skills to thrive and trust in a digital world; boost adoption
and diffusion of digital tools to drive productivity growth in firms, for all, governments must get ready for a massive training
and small and medium sized enterprises in particular; promote challenge. To promote social prosperity, policies should reduce
business dynamism and structural change; foster investment in divides by strengthening foundational skills and life-long learning
intangible assets (e.g. patents, software). and include everyone, notably women, the elderly and low-
income individuals , while tackling risks like cyberbullying and
Innovation and market: To unleash digital innovation, policies disinformation.
should promote entrepreneurship; facilitate access to finance;
support basic research, knowledge diffusion and open science; Trust: Trust fundamentally underpins digital transformation.
and open up government data. Policies should also encourage To strengthen trust, policies should encourage people and
experimentation and new business models across sectors, organizations to better manage digital security and privacy
including by promoting the flexible application or enforcement of risks and improve consumer protection online. National privacy
regulation. To foster market openness and dynamism in digital strategies can help promote a whole-of-society perspective and
business environments, policies should: reduce barriers to trade facilitate cross-border data flows.
and investment; promote open financial markets; tackle changing
competition dynamics, including issues related to increasing OECD suggested that governments need a comprehensive
concentration; and address tax challenges through more effective digital transformation strategy and governance approach that
international cooperation. supports effective co ordination across policy areas and among
all stakeholders. A strategic vision, clear priorities and objectives,
Employment and inclusive society: Over the past decade, four measurable targets, sufficient budget, and thorough monitoring
out of ten jobs were created in highly digital-intensive sectors of progress and policy evaluation are essential elements of a
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and new forms of work arose in tandem. To ensure good jobs successful digital transformation strategy.
Turkish Government Ramps up Efforts to Support SMEs with New Loan package

The Turkish government and 13 banks have joined efforts to provide a TL 20 billion ($3.7
billion) finance package for small and medium-sized enterprises (SMEs) that have annual
turnovers of less than TL 25 million. Between 20,000 and 40,000 SMEs will benefit from
this package, and they may benefit from the six-month, nonrefundable loan package with
a 1.54-percent monthly interest rate. Firms in the manufacturing and export sectors will
receive TL 1 million, and enterprises operating in other sectors will receive TL 500,000. The
SME credit package was created by lenders, and it will not affect the country’s treasury. In
Turkey, SMEs account for more than 99 percent of all businesses, 73 percent of employment,
55 percent of total investments and 55 percent of exports, the OECD report shows. SMEs
will create a valuable contribution to production, employment and exports. In order to raise
moral values in the economy, it will create a positive start in the new year, and the package
is very important and meaningful in terms of financing, which is the main problem of SMEs.
It will be a lifeline for the Turkish economy and that it comes at a time when financial
resources are extremely limited.