Promoting and Developing Digital Transformation Toward 2030

This chapter examines the organisation for economic co-operation and development's strategy for promoting digital transformation—the Going Digital initiative—and suggests ways to implement it in Israel. Promoting digital transformation in Israel is of the highest priority as a means of increasing productivity and growth and bringing the Israeli economy to the level of leading countries by 2030. Investment in information and communication technology (ICT) carries a positive effect on economic growth, welfare and employees’ productivity in both developed and developing countries. As ICT investments are crucial for productivity, growth and quality of life, their rate should be exponentially increased. The chapter utilizes a macro model that breaks down the productivity gap and the priorities set by it, looking at the distribution of Going Digital indicators between its components. Thus, priorities are supported by the results of regressions of indicators with the dependent variable being GDP per capita.