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Networked Readiness Index

The Networked Readiness Index (NRI) is a composite index that measures countries' preparedness to exploit the opportunities offered by information and communications technologies (ICTs) in a networked world, evaluating their performance across key dimensions of digital transformation.^[1] Originally launched in 2002 by the World Economic Forum (WEF) in collaboration with experts like Soumitra Dutta and Bruno Lanvin, the NRI was redesigned in 2019 by its founders under the auspices of the Portulans Institute, a think tank focused on digital economy and policy, and has since been co-published annually with the Saïd Business School at the University of Oxford.^[1]^[2] The index ranks up to 133 economies—representing over 95% of global GDP—based on a multi-level methodology comprising four primary pillars: Technology, which assesses ICT infrastructure, access, and adoption; People, evaluating skills, inclusion, and human capital in digital contexts; Governance, examining regulations, trust, and policy frameworks for digital ecosystems; and Impact, measuring the societal, economic, and environmental outcomes of ICT use.^[1]^[3] Each pillar is subdivided into sub-pillars and supported by over 50 indicators drawn from international data sources, enabling a holistic benchmarking of digital readiness and highlighting disparities between high-income and developing economies.^[1]^[3] The NRI's purpose is to guide policymakers, businesses, and stakeholders in fostering inclusive digital growth, with recent editions emphasizing emerging challenges like digital public-private partnerships (DPPPs), AI governance, and sustainable development amid global inequalities.^[3]^[4] In the 2024 edition, the United States led the rankings for the third consecutive year, followed by Singapore and Finland, underscoring the dominance of advanced economies in technology and impact while revealing persistent gaps in governance and people pillars for lower-ranked nations.^[5]^[6]

Overview

Definition and Purpose

The Network Readiness Index (NRI) is a composite index that measures the readiness of economies to leverage information and communications technologies (ICTs) for inclusive growth, sustainable development, human development, well-being, competitiveness, innovation, and broader societal benefits.^[3] Unlike metrics focused solely on ICT access, the NRI adopts a multi-dimensional approach, evaluating capacities in skills, trust, societal outcomes, content, future technologies, inclusion, and governance to assess how effectively countries can harness digital tools.^[3] It encompasses 133 economies, representing over 95% of global GDP, providing a comprehensive global benchmark.^[3] The primary purpose of the NRI is to serve as a strategic tool for governments, businesses, policymakers, and stakeholders, offering insights into strengths and weaknesses in digital infrastructure, human capital, governance, and outcomes to inform ICT policies and foster public-private partnerships.^[3] By benchmarking network readiness across four core pillars—Technology, People, Governance, and Impact—the index guides decision-making to enhance economic growth, quality of life, and digital transformation.^[3] It emphasizes actionable data to promote equitable digital adoption and societal resilience.^[3] Originally designed to evaluate countries' ability to exploit ICT opportunities for competitiveness and well-being, the NRI's purpose has evolved significantly following a 2019 redesign, which realigned it with the United Nations Sustainable Development Goals (SDGs).^[3] This shift integrated SDG contributions as a key focus, moving beyond traditional infrastructure assessments to prioritize digital solutions for education, healthcare, climate action, and inclusive governance, thereby supporting sustainable and equitable digital futures.^[3]

Scope and Coverage

The Networked Readiness Index (NRI) assesses the digital readiness of 133 economies in its 2024 edition, providing a global benchmark that spans high-income, upper-middle-income, lower-middle-income, and low-income countries across all major regions, including Europe, the Americas, Asia-Pacific, Africa, and Oceania.^[4] Specifically, the index includes 52 high-income economies, 36 upper-middle-income, 32 lower-middle-income, and 13 low-income economies, ensuring broad representation of diverse economic contexts and development stages.^[4] This comprehensive geographical and economic coverage allows the NRI to highlight both leading performers among advanced economies and progress in emerging markets, while underscoring disparities in digital adoption worldwide.^[6] Thematically, the NRI encompasses key dimensions of digital transformation, including technology infrastructure, human skills and capacities, regulatory and governance environments, and the socio-economic impacts of networked technologies.^[1] These areas are evaluated through four core pillars—Technology, People, Governance, and Impact—offering a holistic perspective on how economies leverage information and communication technologies (ICT) for growth, innovation, and societal benefits.^[4] By focusing on these interconnected themes, the index supports policy benchmarking that addresses not only technical capabilities but also equitable access and sustainable outcomes in the digital economy.^[1] The scope of the NRI has evolved significantly since its inception, expanding from an initial assessment of 75 countries in 2002 to over 130 economies by 2024, reflecting growing global interest in digital readiness metrics.^[7]^[6] Recent expansions include the addition of four new economies in the 2024 edition: Seychelles, Sierra Leone, Trinidad and Tobago, and Yemen, which enhance coverage of underrepresented regions in Africa and the Caribbean.^[4] Collectively, the 133 economies account for approximately 95% of global GDP, balancing representation of major economic powers with insights into smaller or developing nations to illuminate global digital divides.^[6]

History

Inception and Early Development

The Networked Readiness Index (NRI) was introduced in 2002 as part of the World Economic Forum's (WEF) Global Information Technology Report, marking the first comprehensive assessment of countries' preparedness to leverage information and communication technologies (ICT) for economic and social advancement. Developed in collaboration with the Center for International Development at Harvard University, the index was conceived by a team including Geoffrey S. Kirkman, Carlos A. Osorio, and Jeffrey D. Sachs, with editorial oversight from Soumitra Dutta of INSEAD and WEF. The initiative aimed to evaluate how economies and societies exploit emerging ICT opportunities, addressing gaps in traditional metrics by incorporating both quantitative data and executive surveys to gauge networked ecosystems.^[7]^[8] The inaugural 2001–2002 edition covered 75 countries, representing over 80 percent of the global population, and established a foundational framework emphasizing enabling conditions for ICT adoption. It highlighted four key enabler subindexes under the broader enabling factors—network access (infrastructure and affordability), network policy (regulatory environment), networked society (individual and cultural readiness), and networked economy (business utilization)—alongside measures of actual network usage across individuals, businesses, and governments. This structure underscored the multi-stakeholder nature of digital readiness, drawing on 65 variables from sources like the International Telecommunication Union and WEF's Executive Opinion Survey to produce rankings that revealed disparities, such as Finland's early lead in overall preparedness. Subsequent early iterations, including the 2002–2003 report expanding to 82 countries, refined this approach while maintaining focus on ICT's role in bridging developmental divides.^[7]^[9] From 2002 to 2018, the WEF published the NRI annually within the Global Information Technology Report, evolving its scope to include up to 140 economies by the mid-2010s and incorporating INSEAD as a key academic partner under the leadership of co-editors Soumitra Dutta and Bruno Lanvin. These editions consistently influenced global digital policy discussions by providing benchmarks for governments and organizations to prioritize investments in infrastructure, skills, and governance, as evidenced by its use in shaping strategies for ICT-driven growth in emerging markets. The index's emphasis on holistic readiness helped frame international dialogues on digital inclusion, contributing to frameworks like the United Nations' Millennium Development Goals.^[10]^[11]

Redesign and Current Management

In 2019, the Networked Readiness Index underwent a significant redesign led by its founders and co-editors, Soumitra Dutta and Bruno Lanvin, transitioning from its earlier collaboration with the World Economic Forum to an independent framework under the newly established Portulans Institute.^[12] This overhaul shifted the index's emphasis toward governance, trust, and alignment with the United Nations Sustainable Development Goals (SDGs), addressing evolving digital transformation challenges such as inclusion and ethical technology use.^[1] The redesign built on the index's foundational work from its World Economic Forum era but introduced a more holistic assessment of how networks enable societal progress.^[13] The revamped index expanded its structure to four core pillars—Technology, People, Governance, and Impact—departing from prior models that focused primarily on technology adoption and infrastructure.^[12] This change incorporated additional SDG-aligned indicators, such as those measuring access to basic services, environmental impact, and educational outcomes, to better capture the broader implications of digital readiness.^[3] The first independent edition in 2019 covered 121 economies, representing over 90 percent of global GDP, and utilized 62 indicators drawn from international sources to ensure comprehensive benchmarking.^[12] Today, the Networked Readiness Index is published annually as a non-profit initiative by the Portulans Institute, an independent organization founded in 2019 by Soumitra Dutta, Bruno Lanvin, and Carolina Rossini, in partnership with the Saïd Business School at the University of Oxford.^[2] The reports are co-edited by Dutta and Lanvin, with production supported by a core team including contributions from institutions like INSEAD and the World Intellectual Property Organization.^[14] This management structure sustains the index as a tool for policymakers and organizations to evaluate and enhance digital economies, fostering global comparisons on network-enabled development.^[5]

Methodology

Overall Framework

The Network Readiness Index (NRI) is structured as a three-tiered composite index designed to benchmark digital transformation and its societal implications across global economies. At the highest level, it organizes assessment into four primary pillars—Technology, People, Governance, and Impact—that collectively capture the multifaceted dimensions of networked readiness. These pillars are subdivided into 12 sub-pillars at the intermediate level, which in turn aggregate data from 54 indicators at the base level, enabling a hierarchical evaluation from broad thematic areas to granular metrics. This architecture ensures a balanced, holistic measurement of how technologies enable progress while addressing potential risks and inequities.^[15] The Technology pillar emphasizes infrastructure and innovation, with sub-pillars including Access (e.g., broadband availability), Content (e.g., digital resources), and Future Technologies (e.g., AI adoption readiness). The People pillar focuses on skills and usage, structured around sub-pillars for Individuals (e.g., digital literacy), Businesses (e.g., e-commerce integration), and Governments (e.g., e-services delivery). Governance highlights policies and inclusion via sub-pillars such as Trust (e.g., cybersecurity measures), Regulation (e.g., data protection laws), and Inclusion (e.g., reducing digital divides). Finally, the Impact pillar evaluates outcomes and sustainability through sub-pillars like Economy (e.g., ICT-driven growth), Quality of Life (e.g., well-being enhancements), and SDG Contribution (e.g., alignment with global goals). Each pillar typically comprises three sub-pillars, providing a consistent depth of analysis across the framework.^[15]^[16] The current framework underwent a significant redesign in 2019, led by the Portulans Institute and collaborators, to incorporate emerging technologies such as artificial intelligence and to better integrate global challenges like the United Nations Sustainable Development Goals (SDGs). This update shifted from prior iterations to prioritize inclusivity, future-proofing, and the interplay between technology adoption and socioeconomic impacts, ensuring the index remains relevant amid rapid digital evolution.^[17]^[18]

Indicators and Data Sources

The Network Readiness Index (NRI) is constructed using 54 core indicators that measure various dimensions of digital and technological advancement across economies. These indicators are categorized into three main types: 31 hard quantitative metrics, which provide objective, measurable data; 12 composite or index-based indicators, derived from aggregated sub-indices; and 11 survey-based or qualitative indicators, capturing perceptions and subjective assessments.^[15] Quantitative indicators focus on factual statistics such as broadband subscriptions per 100 inhabitants or mobile broadband penetration rates, while qualitative ones assess elements like trust perceptions in online environments or the effectiveness of government ICT strategies.^[15] Composite indicators often integrate multiple data points, such as e-participation indices or cybersecurity readiness scores.^[15] Data for these indicators are sourced from a diverse array of international organizations, national statistical agencies, and private sector entities to ensure comprehensive and reliable coverage. Primary international sources include the International Telecommunication Union (ITU) for telecommunications metrics like international internet bandwidth; the World Bank for economic and infrastructure data such as secure internet servers and GDP per capita; UNESCO for education-related indicators including ICT skills and adult literacy rates; the World Economic Forum (WEF) for innovation and skills assessments; and the Organisation for Economic Co-operation and Development (OECD) for policy and trade statistics.^[15] Additional inputs come from national statistics offices for country-specific figures, private platforms like GitHub for tracking technology commits and developer activity, and proprietary surveys such as the Executive Opinion Survey for perceptual data on business and government adoption.^[15] The Global Data Barometer also contributes to inclusion and governance metrics.^[15] These indicators feed into the NRI's sub-pillars to evaluate overall readiness.^[15] In the 2024 edition, data primarily draws from vintages spanning 2022 to 2024, reflecting recent global developments in digital infrastructure and innovation. To enhance relevance to emerging technologies like artificial intelligence (AI) and alignment with the United Nations Sustainable Development Goals (SDGs), the methodology incorporated updates to 10 indicators, replaced 4 with more contemporary proxies (such as substituting business-financed R&D expenditure with the number of venture capital deals in AI), and removed 4 outdated ones (including tertiary enrollment rates and high-tech exports).^[15] These changes ensure the index captures evolving priorities, such as AI talent concentration and contributions to SDGs like good health (SDG 3) and quality education (SDG 4).^[15]

Calculation and Normalization

The calculation of the Networked Readiness Index (NRI) involves transforming raw indicator data into comparable scores through normalization and aggregation processes, enabling cross-country assessments of digital readiness. All 54 indicators are first normalized to a uniform 0-100 scale using the min-max method, which scales values relative to the observed minimum and maximum across the 133 economies included in the analysis. For indicators where higher values signify positive outcomes (e.g., most technology adoption metrics), the normalized score is computed as \frac{x - \min}{\max - \min} \times 100, where x is the raw value. This approach standardizes diverse data types, such as percentages, ratios, and absolute figures from sources like the International Telecommunication Union and World Bank, ensuring that no single unit dominates the index.^[15] A reverse normalization is applied to the three indicators where higher raw values indicate negative performance, such as income inequality, to align them with the positive direction of other metrics: $100 - \left( \frac{x - \min}{\max - \min} \times 100 \right). For instance, indicator i4.2.3 on regulatory burdens, which measures excessive administrative requirements hindering business operations, undergoes this reversal to reflect lower burdens as higher scores. This adjustment maintains conceptual consistency across the index, preventing distortion from directional differences. Outliers in raw data are identified using skewness greater than 2 or kurtosis exceeding 3.5; if there are 5 or fewer outliers, they are winsorized at the 5th and 95th percentiles, while 6 or more trigger a log-transformation (base 1, 10, or 100) for stability; if log fails, Yeo-Johnson transformation is applied (to two indicators).^[15] Aggregation proceeds hierarchically: normalized indicator scores within each of the 12 sub-pillars are combined using weighted arithmetic means, where 50 indicators have weight 1 and 4 specific indicators (e.g., i4.2.3 Income inequality, i4.3.5 SDG 11) have weight 0.5; sub-pillar scores are then averaged unweighted to form the four pillar scores (Technology, People, Governance, and Impact), and finally the overall NRI is the unweighted mean of the pillar scores. Equal weighting is assigned to all four pillars at 25% each, with sub-pillars within pillars treated equally, promoting simplicity and balance in the framework. The computations are performed using the COINr R package, which facilitates composite index construction and robustness checks, such as testing a geometric mean alternative that showed minimal impact on rankings. This structure underscores the index's emphasis on holistic performance rather than prioritizing specific components.^[15] Missing data, labeled as "N/A," are excluded from relevant calculations to preserve integrity, with countries required to have at least 70% data coverage at the pillar level and 40% at the sub-pillar level for inclusion in rankings; indicators with over 50% missing values across countries may lead to partial exclusions or flagging for caution in interpretation. No systematic imputation is applied, though high missing rates (e.g., 64.9% for AI talent concentration) are noted, potentially affecting scores for less data-rich economies. Overall, these methods ensure cross-country comparability by mitigating scale differences and data gaps, allowing the NRI to serve as a reliable benchmark for policy analysis in digital transformation.^[15]

Pillars

Technology Pillar

The Technology pillar constitutes 25% of the overall Network Readiness Index (NRI) score and evaluates a country's technological infrastructure and innovation capacity to support global economic engagement. As one of four equal pillars in the NRI framework, it focuses on the foundational elements of digital ecosystems, including the availability, quality, and forward-looking adoption of information and communication technologies (ICT). This pillar underscores the importance of robust technological enablers in bridging digital divides, particularly by measuring disparities in infrastructure development across economies.^[3]^[19] The Access sub-pillar, comprising six indicators, assesses the current extent of ICT accessibility, affordability, and coverage for individuals and businesses. Key metrics include broadband coverage through fiber-to-the-home (FTTH) subscriptions, mobile network coverage, 3G/4G/5G penetration rates, internet bandwidth availability, handset prices, and mobile tariffs. These indicators highlight how equitable access to reliable connectivity forms the bedrock of digital inclusion, with notable gaps in low-income countries where infrastructure limitations persist due to underinvestment in physical networks.^[3]^[19] The Content sub-pillar, with four indicators, examines the quality, creation, and availability of digital content and services that enhance user engagement and local relevance. Representative examples encompass the volume of GitHub commits as a proxy for software development activity, the number of AI-related scientific publications, internet domain registrations per capita, and the scale of mobile app development and usage. This sub-pillar emphasizes the role of diverse, high-quality digital resources in fostering innovation and reducing reliance on imported technologies, thereby supporting culturally attuned digital ecosystems.^[3]^[19] The Future Technologies sub-pillar, also consisting of four indicators, gauges readiness for emerging technological trends through adoption and investment metrics. It includes assessments of adoption of emerging technologies, investment in emerging technologies, robot density, and computer software spending. This component prioritizes long-term technological resilience by tracking commitments to innovation pipelines, revealing significant infrastructure and investment shortfalls in low-income economies that hinder their integration into future digital paradigms.^[3]^[19]

People Pillar

The People Pillar of the Networked Readiness Index (NRI) evaluates the extent to which individuals, businesses, and governments leverage information and communication technologies (ICT) to enhance human capital and foster inclusive digital participation, accounting for 25% of the overall index score. This pillar emphasizes skills development, adoption patterns, and behavioral integration of technology, building on the foundational tools provided by the Technology Pillar to assess user-side readiness in the networked economy.^[3]^[19] Structured into three sub-pillars—Individuals, Businesses, and Governments—the People Pillar draws on a combination of quantitative metrics and perception-based surveys to measure human capital readiness. The Individuals sub-pillar, comprising five indicators, focuses on digital skills levels and usage among the population, including mobile broadband internet traffic within the country, ICT skills in the education system (assessed via surveys like the World Economic Forum's Executive Opinion Survey), use of virtual social networks, adult literacy rates, and AI talent concentration. These indicators, sourced from organizations such as the International Telecommunication Union (ITU), UNESCO, and the OECD, highlight barriers to access and proficiency, with surveys capturing perceived gaps in ICT education and awareness, such as limited training in emerging technologies like artificial intelligence (AI). For instance, countries with high scores, like Finland, demonstrate strong ICT curriculum integration, enabling broader societal engagement in digital activities.^[3]^[19] The Businesses sub-pillar, with four indicators, assesses ICT adoption rates and digitalization efforts by enterprises, evaluating the percentage of firms with websites, the number of venture capital deals invested in AI, annual investment in telecommunication services, and the scale of the public cloud computing market. Data from sources including the OECD, World Bank, and IDC underscore how businesses invest in digital tools to drive innovation and competitiveness, with representative examples showing that advanced economies like the United States lead in AI venture funding, reflecting robust digital transformation in the private sector. This sub-pillar prioritizes conceptual readiness over raw infrastructure, focusing on how firms upskill employees and overcome adoption hurdles through targeted digital training programs.^[3]^[19] Complementing these, the Governments sub-pillar includes four indicators that gauge public sector tech integration, such as the availability of online government services, government data capabilities, government promotion of investment in emerging technologies, and R&D expenditure by governments and higher education as a percentage of GDP. Sourced from the United Nations Department of Economic and Social Affairs (UNDESA), Global Data Barometer, and UNESCO, these metrics evaluate how public entities promote ICT-enabled services and citizen engagement, with high performers like Estonia exemplifying seamless e-government platforms that reduce administrative barriers and enhance service delivery. Surveys within this sub-pillar, including those on government promotion of emerging technology investments, further reveal perceived institutional readiness and challenges in scaling digital public infrastructure. Overall, the People Pillar's emphasis on inclusive skills and adoption ensures a holistic view of societal digital maturity, critical for equitable economic growth.^[3]^[19]

Governance Pillar

The Governance pillar of the Networked Readiness Index (NRI) evaluates the institutional and policy frameworks that enable secure, equitable, and effective digital transformation within economies. It assesses how governments foster trust in digital systems, implement robust regulations, and promote inclusive access to technology, thereby creating an enabling environment for networked societies. This pillar, which carries a 25% weight in the overall NRI composite index, underscores the role of governance in mitigating risks such as cyber threats and digital exclusion while supporting innovation through legal and ethical standards.^[3]^[20] Introduced in the 2019 redesign of the NRI by the Portulans Institute, the Governance pillar emphasizes trust and inclusion to address emerging digital divides, marking a shift from earlier versions that focused more broadly on political and regulatory environments. It comprises three sub-pillars: Trust, Regulation, and Inclusion, each built on specific indicators drawn from international data sources. The Trust sub-pillar, for instance, measures cybersecurity preparedness and the prevalence of secure internet servers to gauge public confidence in online activities, with examples like high scores in Denmark reflecting strong legal frameworks for data protection.^[20]^[3] This focus on trust has gained prominence post-2019, as digital economies increasingly rely on reliable systems to prevent breaches and build user adoption.^[20] The Regulation sub-pillar examines the adaptability and quality of laws governing digital technologies, including e-commerce legislation and protections for privacy, as seen in frameworks like the European Union's General Data Protection Regulation (GDPR) that influence scores for countries such as Luxembourg. It highlights the importance of regulatory environments that balance innovation with oversight, such as rules for emerging technologies like artificial intelligence. Complementing this, the Inclusion sub-pillar targets equitable access by assessing gaps in digital participation, for example, gender disparities in internet use and rural-urban divides in digital payments, with leading performers like Singapore demonstrating policies that narrow these inequities.^[3]^[20] Overall, the Governance pillar promotes digital public-private partnerships (DPPPs) as a mechanism for collaborative digital governance, enabling stakeholders to co-develop policies that enhance ethical standards and societal participation. By enabling institutional enablers, it supports the People pillar's focus on individual and organizational behaviors in digital engagement. Northern European economies, such as Norway and the Netherlands, often excel here due to their integrated approaches to legal frameworks and inclusive policies.^[3]^[3]

Impact Pillar

The Impact pillar of the Network Readiness Index assesses the tangible socio-economic and sustainable outcomes resulting from digital transformation, emphasizing how advancements in technology, human capabilities, and governance translate into broader societal benefits. With a 25% weight in the overall index, it focuses on three sub-pillars—Economy, Quality of Life, and SDG Contribution—each contributing approximately 33.3% to the pillar's score, though weights may be adjusted for indicators with low correlations to ensure balanced representation. This pillar quantifies benefits such as enhanced productivity, improved social welfare, and accelerated progress toward global sustainability goals, using a composite scoring approach that aggregates normalized indicator values to highlight the real-world dividends of networked readiness.^[3] The Economy sub-pillar evaluates the economic contributions of information and communication technologies (ICT), measuring how digital ecosystems drive growth, innovation, and market dynamism. Key indicators include ICT patent applications, which capture innovation output; domestic market scale, reflecting the size and potential of digital economies; prevalence of the gig economy, indicating flexible labor opportunities enabled by platforms; and ICT services exports, assessing global competitiveness in digital trade. These metrics collectively illustrate productivity gains, such as through increased efficiency in sectors reliant on ICT, where higher scores correlate with greater GDP contributions from digital activities, underscoring the pillar's role in linking digital infrastructure to macroeconomic expansion.^[3] The Quality of Life sub-pillar examines enhancements in personal and societal well-being facilitated by digital means, focusing on equitable and inclusive outcomes. Representative indicators encompass happiness levels, which gauge overall life satisfaction influenced by digital access; freedom to make life choices, evaluating autonomy in decision-making supported by information availability; income inequality, adjusted for its correlation with other factors to measure economic disparities mitigated by technology; and healthy life expectancy at birth, tracking health improvements via telemedicine and data-driven care. By prioritizing these, the sub-pillar quantifies social welfare improvements, such as reduced disparities and better health outcomes, demonstrating how digital readiness fosters human-centered progress beyond mere economic metrics.^[3] The SDG Contribution sub-pillar aligns digital transformation with the United Nations Sustainable Development Goals (SDGs), assessing contributions to specific targets through technology-enabled initiatives. It includes indicators for SDG 3 (good health and well-being), such as advancements in digital health solutions; SDG 4 (quality education), measuring e-learning impacts; SDG 5 (gender equality), via women's economic opportunities in digital spaces; SDG 7 (affordable and clean energy), tracking smart grid efficiencies; and SDG 11 (sustainable cities and communities), evaluating urban digital sustainability, with weights adjusted for correlated elements like health metrics. The 2024 edition emphasizes artificial intelligence's (AI) role in accelerating SDG progress, such as through predictive analytics for environmental challenges or inclusive education tools. This sub-pillar thus bridges networked readiness to global sustainability, revealing how digital efforts yield measurable advancements in equitable development.^[3]

Reports and Rankings

Latest Edition

The Network Readiness Index (NRI) 2024 edition, released in November 2024 by the Portulans Institute, assesses the digital readiness of 133 economies, representing 95% of global GDP, with a particular emphasis on how digital public-private partnerships (DPPPs) enhance technology adoption, innovation, and societal impact.^[4]^[3] In the rankings, the United States secured the top position for the third consecutive year with a score of 78.96, followed by Singapore (76.94) in second place and Finland (75.76) in third; the top 10 is dominated by advanced economies including Sweden (4th), the Republic of Korea (5th), the Netherlands (6th), Switzerland (7th), the United Kingdom (8th), Germany (9th), and Denmark (10th).^[4]^[6]^[19] Key findings highlight that high-income economies continue to lead overall, driven by advancements in AI, cloud computing, and future-oriented technologies that bolster network readiness; for instance, China advanced to 17th place (score: 68.70), standing out as the sole middle-income country in the top 20 due to strong performances in AI scientific publications and digital infrastructure investments.^[4]^[21] The report underscores the role of DPPPs in accelerating digital transformation, particularly in fostering economic growth and quality-of-life improvements across diverse contexts.^[3] The full report is available as a free PDF download from the Portulans Institute website, accompanied by an open dataset enabling custom analyses of the 54 indicators used in the NRI framework.^[22]

Historical Trends and Key Findings

The Networked Readiness Index (NRI) has demonstrated consistent leadership among high-income economies since its inception in 2002, with Nordic countries such as Finland, Sweden, and Denmark frequently ranking in the top 10, alongside Singapore and the United States.^[3]^[7] For instance, in the 2024 edition, the United States maintained its position as the top performer for the third consecutive year, followed closely by Singapore and Finland, reflecting sustained strengths in technology adoption and governance.^[3] Post-2019, several Asian economies have shown notable upward mobility, with China improving to 20th place in 2023 from lower rankings in earlier editions, driven by advancements in digital infrastructure and economic impact metrics.^[14]^[20] A persistent digital divide characterizes global NRI trends, with high-income countries averaging scores above 70 while low-income nations, particularly in sub-Saharan Africa, remain below 30, as seen in 2024 rankings where Chad scored 22.22 and Madagascar 27.00.^[3] The COVID-19 pandemic accelerated e-government adoption worldwide, boosting scores in governance pillars for many economies through enhanced online public services, though recovery has been uneven.^[3] Recent editions, including 2023 and 2024, have intensified focus on Sustainable Development Goals (SDGs) under the Impact pillar, revealing uneven progress: high performers like Finland lead in SDG contributions (score 84.44 in 2024), while low-income countries lag in areas such as health and education digital integration.^[3]^[14] The NRI's scope has expanded significantly over time, covering 75 countries in its 2002 debut and reaching 133 economies in 2024, enabling broader analysis of global disparities.^[7]^[3] This growth coincides with an evolving methodology, particularly the 2019 redesign that introduced the Impact pillar to emphasize outcomes like quality of life and SDG alignment, shifting from primarily input-focused metrics to holistic assessments of digital transformation's societal benefits.^[20]^[3]

Applications

Policy and Economic Implications

The Networked Readiness Index (NRI) serves as a key benchmark for governments to develop and refine national digital strategies, allowing policymakers to pinpoint deficiencies in technology infrastructure, human capabilities, governance frameworks, and socio-economic outcomes across 133 economies. By providing actionable insights into these areas, the NRI enables targeted investments, such as expanding broadband access or enhancing digital literacy programs, to bolster a country's overall capacity to leverage emerging technologies.^[15] In practice, the NRI has guided policy reforms that improve governance quality; for example, high-performing nations like Denmark and the Netherlands demonstrate strong regulatory environments, as measured by the index. The index is also employed by international bodies including the United Nations and the Organisation for Economic Co-operation and Development (OECD) to track advancements toward Sustainable Development Goals (SDGs), with leaders like Ireland and Finland excelling in SDG contributions through digital initiatives.^[15]^[23] From an economic perspective, elevated NRI scores exhibit a robust correlation with GDP per capita (R² = 0.7959), underscoring how digital readiness drives broader growth and innovation in advanced economies. Businesses rely on the NRI to evaluate market potential for technology deployments, assessing indicators like technological adoption and governance stability to inform investment decisions in regions such as Asia-Pacific and Latin America. The 2024 NRI edition highlights Digital Public-Private Partnerships (DPPPs) as instrumental for enhancing supply chain resilience, exemplified by Estonia's e-governance advancements that integrate digital tools to promote inclusive economic participation and mitigate disruptions.^[15]^[23] The NRI further shapes global policy discourse, influencing proceedings at forums like the World Economic Forum (WEF) where it supports multistakeholder conversations on digital equity and competitiveness. Its integration into national ICT strategies is evident in countries including Singapore, the United States, Brazil, and Vietnam, where insights from the index have spurred AI integration, infrastructure upgrades, and regulatory enhancements to sustain long-term economic vitality.^[15]

Criticisms and Limitations

The Networked Readiness Index (NRI) has faced criticism for its over-reliance on quantitative metrics, which may overlook qualitative aspects such as cultural factors influencing digital adoption and usage. While the index assesses technology, people, governance, and impact through standardized indicators, it primarily draws on numerical data sources like international databases and surveys, potentially underemphasizing contextual nuances like societal norms or local innovation practices that vary across cultures. For instance, the framework does not incorporate qualitative evaluations to capture disparities such as those in gender or socioeconomic access.^[24] A key methodological critique centers on the equal weighting of pillars and sub-pillars, which assumes uniform importance across dimensions despite evidence that their relative contributions differ by country context. This approach can introduce bias by not prioritizing context-specific factors, such as governance in developing economies versus technology in advanced ones. Researchers have proposed alternatives like multilevel I-distance methodology or data envelopment analysis (DEA) to derive objective weights based on indicator interdependencies, arguing that equal weighting oversimplifies complex ICT ecosystems and may distort rankings.^[25]^[26] Data limitations pose significant challenges, particularly gaps in coverage for low-income countries, leading to underrepresentation and unreliable comparisons. In the 2024 edition, several indicators exhibit high missing values—such as AI talent concentration (64.7% missing) and robot density (57.9% missing)—exceeding recommended thresholds and resulting in exclusions or imputed scores that affect overall rankings. Low-income and African nations, like Uganda (ranked 118th), consistently lag due to these gaps and structural barriers, exacerbating the digital divide between high-income and developing economies. Additionally, some indicators rely on outdated data (e.g., 2019 figures for gig economy prevalence), creating lags in reflecting rapid technological changes like AI advancements in pre-2024 editions.^[3] Survey-based indicators, comprising a substantial portion of the NRI (e.g., from the World Economic Forum's Executive Opinion Survey), are prone to respondent bias and subjectivity, as they capture perceptions rather than objective measures. This reliance on business leaders' opinions can skew results toward urban or elite viewpoints, further limiting applicability in diverse global contexts. The index also exhibits potential Western-centric tendencies, with top performers predominantly high-income European or North American countries, which may not adequately benchmark non-Western digital ecosystems.^[3] The 2024 updates addressed some gaps by incorporating AI-related metrics (e.g., AI talent and regulatory support) and improving data coverage for indicators like internet access in schools (to 69.92%), following recommendations from statistical audits. However, high missing rates persist for several variables, and experts emphasize the ongoing need for more real-time data to better capture dynamic tech evolutions.^[3]^[27]

References

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Network Readiness Index – Benchmarking the Future of the Network ...
The Network Readiness Index (NRI) is a composite index constructed with three levels. The primary level consists of four pillars that make up the fundamental ...Countries · NRI 2023 Edition – Press... · NRI 2024 Edition – Press... · Analysis
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Portulans Institute: Home
The Network Readiness Index (NRI), co-published by Portulans Institute and Saïd Business School, University of Oxford, serves as a guide for governments ...
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[PDF] Network Readiness Index 2024 - Portulans Institute
This year's report examines how DPPPs drive digital readiness, ultimately fostering economic growth and improving quality of life worldwide.
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NRI 2024 Edition – Press Release - Network Readiness Index
Nov 20, 2024 · The NRI Report maps the network readiness landscape of 133 economies on their performances across four pillars: Technology, People, Governance, and Impact.
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United States tops leader board in Network Readiness Index 2024 ...
Nov 21, 2024 · This year's NRI shows that for the third consecutive year the US has topped the index, published by Portulans Institute and Oxford Saïd.
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Countries - Network Readiness Index
The Network Readiness Index 2024 ranks a total of 133 economies that collectively account for 95 percent of global gross domestic product (GDP).
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[PDF] The Networked Readiness Index: Measuring the Preparedness of ...
The Networked Readiness Index marks an important step forward by distinguishing between factors that determine the usability of the Network (the Enabling ...
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The Global Information Technology Report 2001-2002: Readiness ...
Jun 26, 2002 · Through the development of the first Networked Readiness Index, which ranks 75 countries according to their capacity to take advantage of ICT ...<|control11|><|separator|>
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[PDF] 34309 - World Bank Documents & Reports
This brings the country coverage up to. 102 countries, making the Report the most comprehensive assessment of networked readiness in the world. Preface. Page ...
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[PDF] Global Information Technology Report 2010–2011
Through the lens of the Networked Readiness Index (NRI), the driving factors of networked readiness and ICT leveraging have been identified, highlighting ...
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What is 'networked readiness' and why does it matter?
Jul 6, 2016 · The Networked Readiness Index helps identify which policies are working and which are not, which countries are leading the way and which need to ...
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[PDF] The Network Readiness Index 2019: - INSEAD
... pillars: Technology, People, Governance and Impact. Each pillar is further composed of three sub-pillars as indicated in the figure below. “People and.Missing: thematic | Show results with:thematic
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The Value and Uses of the Network Readiness Index
Mar 25, 2020 · The purpose of the NRI is to be a tool for contextual understanding and smart, data-based action. It is our hope that the data, inputs, and ...
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[PDF] Network Readiness Index 2023 | Portulans Institute
Nov 22, 2023 · The Network Readiness Index 2023, produced by Portulans Institute, aims to facilitate data-driven decisions in ICTs to foster economic growth ...
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https://download.networkreadinessindex.org/reports/data/2024/nri-2024.pdf
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[PDF] The Network Readiness Index 2019:
The Network Readiness Index (NRI) is a framework for assessing the impact of ICT on society and the development of nations.<|control11|><|separator|>
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NRI 2022 Edition – Press Release - Network Readiness Index
Nov 13, 2022 · First launched with the World Economic Forum in 2002, and redesigned in 2019, the NRI is an in-depth analysis of 131 countries' performance ...
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[PDF] The Network Readiness Index 2022 - Portulans Institute
The accelerated digitalization of our societies has greater benefit for those that are digitally fluent - or 'digital natives'. - than for older generations.
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Analysis - Network Readiness Index
The Network Readiness Index 2024 reveals a complex global digital landscape where significant disparities exist between regions and development levels.
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[PDF] The Network Readiness Index 2019:
This authoritative and wide-ranging assessment of how ICT impacts the competitiveness and well-being of nations aligns with WITSA's vision of. “Fulfilling the ...
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China - Network Readiness Index
China's Network Readiness Index score is 68.70, ranking 17th. Technology score is 65.34 (12th), People 66.33 (6th), Governance 73.81 (36th), and Impact 69.32 ( ...
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Reports - Portulans Institute
The Portulans Institute offers reports on topics such as media use in Ukraine, digital policy, global innovation, network readiness, and digital transformation.
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[PDF] Network Readiness Index 2024
This year's report examines how. DPPPs drive digital readiness, ultimately fostering economic growth and improving quality of life worldwide. Page 7. 7. The ...
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[PDF] The Networked Readiness Index 2015: Taking the Pulse of the ICT ...
The Economic impacts pillar aims to measure the effect of ICTs on the economy through technological and non-technological innovations in a country—as measured.
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Beyond the equal-weight framework of the Networked Readiness ...
One of the possible solutions is the Networked Readiness Index (NRI). The NRI is the degree of ICT implementation in a country's economy with the aim of ...Missing: criticism | Show results with:criticism
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ranking using data envelopment analysis (DEA) and network ...
May 25, 2024 · Digitization and International Development: A Descriptive Analysis of the Networked Readiness Index in Eight European Union Countries.
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JRC Statistical Audit of the 2024 Network Readiness Index
May 14, 2025 · The audit focuses on the statistical soundness of the multi-level structure of the index as well as on the impact of key modelling assumptions ...<|control11|><|separator|>