25 nations; UK digital industries grew two and a half times as fast as the economy as a whole between 2003 and 2013; and the United Kingdom has the highest percentage of individual internet usage of any G7 economy.46 Dubai, which is also a very ambitious country and currently the leading MENA country in many international indices such as World Economic Forum, has set a yearly GDP growth target (exclusive of oil) of 5% up to 2021.47 Digitization clearly has an impact on GDP growth. A recent study shows that a 10% increase in digitization contributes to a 0.59% increase in GDP for a transitional economy like Jordan.48 Jordan clearly has to be ambitious in its goal setting. At the same time, the country has much catching up to do before it can have similar growth rates as the UK or even Dubai, which are both advanced economies in terms of digitization and thus experience higher GDP growth rates than transitional economies 49 . Based on international literature and Jordan’s strengths, opportunities, and weaknesses, it is estimated that a yearly growth rate of between 3% and 4% on top of the traditional GDP growth (currently estimated by IMF at 2.8 % increase for 2016 and 3.2 % increase for 201750) is the target for Jordan by 2025. This digital economy target will be effective after two years and will gradually increase to up to 4%. The first two years will see a 3% growth rate in accordance with IMF figures, but no extra growth from digital economy interventions. Year 3, with the assumption than the digital economy action plan has been implemented at the proposed speed and extent, is predicted to see a growth rate of 1% additional growth on top of IMF projections. In year 4 and 5, an annual additional growth on minimum 2% is expected. In year 6 to 9, an annual additional growth of 3%-4% is expected. This corresponds to a 6%-8% total increase in GDP by 2025 (A 3-4% extra growth annually plus the 3-4% projected growth that will happen regardless of an intervention, according to IMF figures). GROWTH IN REVENUE To measure digitization in companies, other countries are focusing on revenue, or turnover as it is termed in the UK. Revenue is defined as the income of a company, both including domestic and international (export). Table 4: International example of targets for growth in turnover The UK’s Tech Nation initiative clearly shows that digital tech industries grew 32% faster in terms of turnover than the national average in a five-year time span.51 46 http://www.publications.parliament.uk/pa/cm201617/cmselect/cmbis/87/87.pdf https://www.vision2021.ae/en/national-priority-areas/national-key-performance-indicators 48 Strategy& (2012): Maximizing the impact of digitization 49 Strategy& (2012): Maximizing the impact of digitization 50 IMF World Economic Outlook 2016, http://www.imf.org/external/country/JOR/ 51 http://www.techcityuk.com/wp-content/uploads/2016/02/Tech-Nation-2016_FINAL-ONLINE1.pdf?utm_content=buffer2e58f&utm_medium=social&utm_source=twitter.com&utm_campaign=buffer 47 | REACH 2025 ACTION PLAN – ROADMAP TO EXCELLENCE

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