worldwide and rapidly guiding all economic and social activities. Businesses, particularly small and medium businesses, depend upon reliable communications infrastructure in order to grow and increase profitability. Reliable connectivity and the ability to engage in e-Commerce are vital paths to economic prosperity and business success. Cross border supply of services has been positively impacted by ICT. The use of electronic or digital commerce (e-Commerce) has grown in parallel with the increasing use of the Internet, allowing buyers and sellers to transact more efficiently by eliminating barriers between market places. E-Commerce leverages advanced technologies to influence cross border trade. It can enable small and medium sized enterprises (SMEs) especially in small Island states like Kiribati, to access worldwide, business resources and reach new markets. The ability to electronically track and log transactions also serves to reduce corruption, which can result from interaction among import - export stakeholders. E-Commerce is therefore crucial to the business environment, as it leads to the integration of SMEs into the global economy. Government ministries and island councils can benefit considerably from affordable and reliable telecommunications, which will assist them in providing services to their constituents and facilitating the growth of business and tourism. Kiribati’s development partners, especially the World Bank, ADB, and Australia and New Zealand governments, are playing an important role in financing the development of communication services in Kiribati through various forms of assistance. These include providing technical assistance, capacity building and funding projects where the commercial returns are insufficient to attract private investment. Financing such social investment can however yield high rates of return in terms of the value realised through economic growth. 4. The International Telecommunication Union's ICT Development Index The International Telecommunication Union (ITU) has devised an ICT Development Index (IDI)[1]. The IDI is a composite index that combines 11 indicators into one benchmark measure that can be used to monitor and compare developments in ICTs between countries and over time. The main objectives of the IDI are to measure: the level and evolution over time of ICT developments within countries and of their experience relative to other countries; progress in ICT development in both developed and developing countries; the digital divide, i.e. differences between countries in terms of their levels of ICT development; and the development potential of ICTs and the extent to which countries can make use of them to enhance growth and development in the context of available capabilities [1] Measuring the Information Society 2017, International Telecommunication Union. Kiribati National ICT Policy 2019 5

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