- The government's digital transformation agenda has entered a new phase. With much of the effort behind digitising and digitalising government processes nearing completion, the agenda must shift to a new front: the digital economy. The advent of e-payments and e-commerce solutions is driving many financial transactions to place online, hence increasing the opportunities for businesses to expand both in terms of market share and also in terms of their general reach into new and emerging markets. As with the benefits seen amidst the digital transformation of government and public administration, the digitisation of the economy holds numerous benefits in terms of ease of access, simplicity in transactions and general business development. Tools such as the government's e-commerce and automation tax credit have pushed businesses to begin the process of transforming the way in which they interact with other businesses and the customer. The emergence of a digital economy within Tropica, coupled with its strong digital government, creates the foundation for generation leaps in terms of national economic development. Whilst the benefits of the digital economy surely outweigh its downsides, it is still important to acknowledge said downsides and work to mitigate their overall impact on the development process. As was evident during the initial phases of the digital transformation of government and public administration, there remains a sect of the population either resistant to their new near mandatory digital-only interaction with government agencies and departments largely due to personal reasons. Individuals with learning disabilities, speech impediments and other related ailments, have expressed optimism about the government's plans to become more inclusive in its digital transformation agenda. It can be stated that these individuals are acutely aware of the benefits technology can bring to enhancing their ease of access to government services and virtually reducing the impact their respective ailments have on their interaction with the wider population. From mandatory content screen readers for all new websites (be in private or public) to digital screen magnifiers, refreshable braille displays and easier access to cochlear implants, the blind and hearing impaired have welcomed the Digital Tropica agenda with open arms. What concerns numerous policy-makers remain the handful of individuals who are resistant to technology and the digital transformation agenda out of pure arrogance. Calling technology "a front to the nation's traditionalist values", these individuals although having expressed their views on the government's agenda, remain a major concern as the government believes that should it continue to advance its agenda it could potentially leave people behind.
After discussing its integration into public administration, e-payments and e-commerce remain relatively undeveloped within Tropica. Although business-to-government (B2G) and customer/citizen-to-government (C2G) payments have now been digitised via e-payment solutions, their deployment within the larger population is yet to materialise. With the majority of the nation's financial transactions occurring outside B2G and C2G, the realisation of a digital economy for Tropica cannot be realised if e-payments and e-commerce solutions are not accepted and utilised within the wider economy. Such a transformation would require the nation's numerous commercial banks (regardless of their size) to wholly commit to developing and deploying e-payments solutions across the nation. The effect of a well-planned, seamlessly deployed e-payments system can be visualised in its impact on the informal economy. The informal economy is comprised of businesses and financial transactions which operate outside of government oversight and regulation. According to the Reserve Bank of Tropica, the informal economy accounts for around 10% of economic activity and 3-7% of employment. One of the main features of the informal economy is that much of the financial transactions occurring within it each day are usually done via cash, with little to no alternatives. With large amounts of money moving throughout the informal economy remaining untaxed, this has been historically viewed by successive governments as a major hindrance to the nation's economic development as the government loses out on much-needed revenue. The deployment of e-payments systems within the informal economy allows for the government to shift its focus away from enforcing uneven taxation laws and move to encourage persons within the informal economy to utilise e-payments as a means of transitioning back to the formal economy and back into compliance with the laws of the land. E-commerce solutions have a similar effect wherein they provide for those within the informal to transition to and participate in the wider formal economy. Online marketplaces for agricultural produce or retail are among some of the government's plans for the future digital economy of Tropica, with many of these solutions being deployed on the municipal and national levels. Already the process has begun as municipal governments begin feasibility studies into the utilisation of online farmer's markets to either supplement or replace the physical spaces altogether. The ability to make financial transactions or purchase products from the comfort of one's phone, computer or tablet is expected to transform the way in which people interact with the wider national economy.
The digital economy can never be realised without the infrastructure to back it. It is one thing to talk of the creation of a digital economy, it is another to prepare the national economy for such a transformation. In recognition of the scale of the government's plans for the digital economy, the need for 5G infrastructure becomes increasingly profound. With government processes and financial transactions set to converge on the numerous digital platforms to be offered both by the government and private sector entities, low-band network connectivity and Tropica's continued reliance on its as the foundation of its telecommunication network cannot be allowed to persist. Minister of Public Administration and Digital Transformation Marama Herangi, as the chief architect of the government's digital economy agenda, believes that the adoption of 5G connectivity, aside from its obvious benefits of increased speeds, would allow for increased capacity wherein more transactions be they financial or information/data-centric would occur at both a greater speed and scale. The restructuring of TTC and subsequent liberalisation of Tropica's telecommunications market allows for increased opportunity and participation among private sector companies. Although he has not given a timeline, Minister Herangi stated that the government intends on beginning the process "soon". Nevertheless, it is evident that the digital economy as envisioned by the government is a clear demonstration of long-term strategic planning, beyond the 5-year electoral cycle.