Impact of Digitalization on Global Sustainable Development Across Countries

Abstract

This study develops an economic development index, a social development index, an environmental sustainability index, and an information and communication technology index to explore the comparison of 34 countries in global sustainable development (GSD) and its promoting indicators, and digitalization. The composite Z-score method is used to create the above-mentioned indexes between 2000 - 2021. The statistical values of these indexes are used to explicate the performance of these countries in all components of sustainable development and digitalization. The correlation coefficients among the mentioned indicators are also estimated to measure associations among them. The regression coefficients of explanatory variables with GSD and digitalization are also estimated using a log-linear regression model. There is reported a high diversity in digitalization, economic development (ED), social development (SD), environmental sustainability (ES), and GSD across countries. GSD is not possible without ED, SD, and ES. Digitalization has a positive impact on sustainable, social, and economic development. Digital technology helps to increase GSD, while GSD seems favorable to increasing digitalization. Digitalization improves as ED, SD, and GSD increase. While digitalization has a negative impact on ES. Green innovation, green and appropriate technologies, green entrepreneurship, and technological advancement would be supportive to increase digitalization and GSD.