IDC: Jobs, Citizen Services and Economic Stability Top Priorities of APEJ Governments
Added 29th Jun 2009The initiatives range from economic stimulus packages and expansionary budgets to the advancement of planned spending and projects.
Gerald Wang, Market Analyst for IDC Government Insights Asia/Pacific remarks, "Most new government budgets do not single out IT spending but incorporates it as an element of a new and urgent government initiative. Despite this, it is still welcoming news for both government technology officers and information technology vendors."
Based on the initiatives announced by governments across the APEJ region, IDC Government Insights analysts have identified the following key areas of investments, the implications of these priorities on ICT spending, as well as potential opportunities for businesses. These investments will begin in late 2009 and continue through 2014.
Infrastructure Projects
Infrastructure projects not only create jobs immediately but also boost citizen services as it provides an opportunity for government agencies to redress aging issues and problems with congested transportation systems, or upgrade healthcare and educational facilities for the benefit of their citizens. The spike in infrastructure projects would likely boost ICT investments in areas such as remote monitoring for building maintenance, automated adherence to stricter safety standards and environmental compliance such as industry emissions-monitoring technologies.
Future Schools
Future schools, which leverage on innovative technologies and business models to reach their target groups, will emerge as a key investment for governments. Among others, future schools address the objective of governments to create jobs through upgrades in educational infrastructure. An example of public-sector ICT spending that is likely to arise from the emergence of future schools is the upgrade of existing ICT infrastructures within educational institutions across all levels.
Healthcare Reforms
Healthcare is a key investment area for governments as it is related to job creation, skills development, citizen-services enhancement, and digital inclusion. Healthcare investments provide a clear boost to public-sector ICT investments. For example, to accelerate the move towards digital patient information, investments will have to be made on the existing ICT infrastructures of hospitals.
Green Technologies
The current financial crisis provides a window of opportunity to restart the economic engine with a focus on long-term solutions that are economically, socially, and ecologically sustainable. In this context, national stimulus packages, to varying degrees, are seeking to not only revive but also green their national economies. Furthermore, green technologies also help government agencies meet cost-cutting and budget optimization goals through a focus on energy efficiency. Investments to strengthen green infrastructures across APEJ countries have clear implications for technology spending in areas such as intelligent grid technologies, energy efficiency technologies, environmentally sound technologies (ESTs) that generate low or zero waste, etc.
Wang advises, "While current economic stimulus priorities will have a dominant impact on the short-term investment behavior of APEJ governments, it is worth noting that ongoing strategic concerns such as the rising threat of transnational terrorism should be continually addressed in order to ensure economic stability over the long run."
This IDC Government Insights study features a specific country-by-country analysis of the budget stimulus initiatives across 13 APEJ economies. It serves as a guide to public-sector CIOs seeking to optimize technology selection and implementation strategies. In addition, it also provides guidance to IT vendors on how to best engage the public sector and plan the best business strategies to pursue new revenues from the opportunities generated by economic stimulus initiatives.
