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Dynamic Influence of Digital and Technological Advancement on Sustainable Economic Growth in Belt and Road Initiative (BRI) Countries

Author

Listed:
  • Sainan Zhao

    (School of Business, Geely University of China, Beijing 102202, China)

  • Yichao Zhang

    (National Financing Guarantee Fund, Beijing 100010, China)

  • Huma Iftikhar

    (School of Management, Huazhong University of Science and Technology, Wuhan 430074, China)

  • Atta Ullah

    (School of Management, Huazhong University of Science and Technology, Wuhan 430074, China
    Department of Business Administration, ILMA University, Karachi 75190, Pakistan)

  • Jie Mao

    (Chengdu Academy of Social Sciences, Chengdu 610023, China)

  • Tiantian Wang

    (Business School, Jishou University, Jishou 410000, China)

Abstract

Digital and technological transformation has gained significant attention not only due to the exposure of the latest technologies but also due to its considerable impact on sustainable economic growth. This research determines the influence of digital and technological advancement on sustainable economic growth. Digital and technological advancement is composed of three variables; E-government Development Index (EGDI), Internet Users’ (IU) growth, and information and communications technology (ICT) exports. Besides that, the urbanization and unemployment rate have been considered as control variables. The dataset consists of the year 2004–2020 for 21 Asian region partner countries along Belt and Road (BRI) region. The conclusions of the two-step system GMM were validated through the D-K fixed effect regression technique. Findings indicate that increase in EGDI, ICT exports, and internet users’ growth has a significant and positive influence on sustainable economic growth which leads that digital and technological advancement having a positive influence on sustainable economic growth. Moreover, urbanization has a partial positive impact, while unemployment has a negative influence on sustainable economic growth as Asian regions are emerging economies and the rate of unemployment is very high, which is affecting the real GDP per capita. It is evident and suggested that improvement in the EGDI index, internet users’ growth, ICT exports, and reduction in the unemployment rate would enhance the balanced sustainable economic growth for all Asian countries of the BRI region.

Suggested Citation

  • Sainan Zhao & Yichao Zhang & Huma Iftikhar & Atta Ullah & Jie Mao & Tiantian Wang, 2022. "Dynamic Influence of Digital and Technological Advancement on Sustainable Economic Growth in Belt and Road Initiative (BRI) Countries," Sustainability, MDPI, vol. 14(23), pages 1-16, November.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:23:p:15782-:d:985817
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