Digital Economic Integration of MSMEs in the Global South

In this project, IT for Change, the Institute of Development Studies (IDS), and country partners unpack how micro, small and medium enterprise (MSME) participation in the global economy is increasingly shaped by the rapid deployment of digital technologies, as well as the mediating impact of regulatory frameworks around digitalization, data governance, and industrial policy.

The project attempts to make connections between MSME digitalization and the political economy of the digital marketplace and global value chains in order to frame opportunities and challenges in relation to development outcomes, with a particular focus on gendered consequences. Going beyond the barriers of gender-based discrimination, and the efficiencies brought about by digitalization strategies, the study delves into emerging policies on global digital trade, international data flows, AI governance, etc., in order to understand how they (re)shape MSME integration into digitalized marketplaces and what implications they may have for the productive capacities of women-led MSMEs.

The project focuses on Asia, Africa, and Latin America. As part of the study, we will publish country-wise case studies delving into the key themes mentioned above. Watch this space for more updates.


Beyond Platform Integration: Unpacking the True Promise of Digital Inclusion for MSMEs in India

October 2024: This report explores the digitalization of Micro, Small, and Medium Enterprises (MSMEs) in India's agriculture and allied sectors, focusing on how these enterprises are navigating the evolving digital landscape. MSMEs are a critical part of the Indian economy, contributing significantly to employment, industrial production, and exports. However, despite growing efforts to promote digital integration, MSMEs in the agriculture sector face uneven adoption of digital technologies. Through a combination of literature review and in-depth interviews with 30 MSMEs, the report explores how digital pathways impact equitable growth, particularly for women-led enterprises, focusing on autonomy, market access, and reliance on large platforms. It emphasizes the need for policies that foster inclusivity and innovation in the agricultural value chain.

Read the report here.

Know more about the report here.

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