The influence of the digitalization factor on the formation and development of human capital in developing countries

Abstract

As developing countries especially in Africa continues to lag behind in their human capital development pursuit in this era of digitalisation, it is necessary to look at the level of influence on digitalisation factors for the formation and development of human capital. Part of this is to look at the critical involvement of digitalisation access in developing countries in Africa. At the end it is necessary to envisage recommendation that can bolster their abilities to succeed due to high investment in these key factors. The research objectives aim at a broad analysis of the influence of the digitalization factor on the formation and development of human capital in developing looking at the relationship between digitalisation and skill development in the context of 14 developing countries. We have used the Kendall’s correlation coefficient (tau-b) to test the association of the variables relating to EDI ranking and Human Capital Development in other to analyse the relationship between variables. The research result shows that Human Capital Index (HCI) and EDI ranking have negative correlation. In any case if the Human Capital of the fourteen (14) developing countries are reached the Electronic Data Interchange ranking will still decrease. The article is concluded with recommendation that developing countries should invest in human capital especially in digital skills and create the atmosphere required for digital access to their citizen in a bid to adopt digital transformation whilst building the human capital development of the people.