MSMEs are severely affected by the global economic recession resulting from the pandemic, which exposed a clear digital divide within and among countries. Even though digitalization of industries was in place before the pandemic, the crisis has hastened that process, promoting the development of innovative solutions in the form of products, processes, and business models. Despite this, roughly 2.7 million MSMEs in the region disappeared in 2020 due to reduced access to markets and value chains and low rates of digital and financial inclusion. Technology adoption has proven to be essential to drive social and economic resilience across Latin America and the Caribbean, however, countries need greater government support and regional cooperation to enable digital transformation.
Increasing access to internet connectivity and strengthening public-private collaboration to promote digitization of MSMEs have been a key priority for the government over the past year. As a result of these efforts, roughly 88% of the country’s population now use internet, and over 60% have access to mobile internet. The Industrial Revolution and digital transformation demand a deep change in companies and professionals – changes that reach every area of the organization and every sector of the economy, becoming a ground-breaking setting because of technological advances. The Dominican Republic has already started working on a paradigm shift, reflected in the implementation of different initiatives and policies. Argentina’s Plan for Productive Development 4.0 includes 50 new measures to raise awareness, including training, technical assistance, investment support, and an institutional infrastructure that supports the process of industrial transformation. In addition, the National Institute for Industrial Technology is currently working on courses for the industry and university degrees to build an institutional framework.