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Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino Sotomane Project Developer MICTI – Mozambique Information and Communication Technology Institute [email protected] www.micti.co.mz The Fifth Session of the Committee on Development Information 29 April - 4 May 2007, Addis Ababa, Ethiopia

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Page 1: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Innovation, Science and technology Policy For The Knowledge Economy - the Case of

Mozambique

byConstantino Sotomane

Project DeveloperMICTI – Mozambique Information and Communication

Technology [email protected]

www.micti.co.mz

The Fifth Session of the Committee on Development Information

29 April - 4 May 2007, Addis Ababa, Ethiopia

Page 2: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Country Background (Basic Indicators)

Area:799,390 sq.Km Population (2005):

Total: 19,420,036 Urban: 31.0% Rural: 69.0%

Government 25 Ministries 11 Provinces, 128 Districts, 352

Administrative Posts 33 Municipalities

Illiteracy Rate (2003): Overall: 53.6% Urban: 30.3% Rural: 65.7%

Per Capita GDP (2005): USD310 Annual growth rate: 8.2% Internet Usage Density (2004):2.7 Teledensity (2004):

Fixed Line: 0.4 Mobile: 8.6

Page 3: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Country Background(Economic Drivers)

• Mozambique is rich in natural resources (hidro-power, gas, coal, minerals, timber, long marine coast and fertile land for agriculture).

• Main exports: sea products, sugar, cashew nuts, tea, coconuts, aluminum, timber.

• Main ports: Maputo, Beira and Nacala

Page 4: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Motivation, problem area

• Nevertheless having all these resources Mozambique is indexed as one of the LDC

• Some weaknesses:

• Human resource development– shortage of qualified personnel and physical infrastructure to support innovation

relevant to Mozambique– Lack of proficient personnel in Information and Communications Technology and

stimulation schemes to encourage the active participation of the private sector– Shortage of scientist and low human capital

• R&D and income generation– Weak industrial base and a lack of an appropriate technology base. Innovative ways

for make mozambique being a more producer than consumer are the ones that will contribute to income generation and job creation

– Week entrepreneurship and innovation culture for income generation and job creation – Poor copyrights enforcement– Low public and private contribution to R&D national efforts

Page 5: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

The KBE Advantage at Work

• Diagram showing reasons for divergence of GDP between Ghana and Korea over more than 25 years.

• Korean example shows transformation from a poorly knowledgeable society to a high knowledge based society producing innovative high technology products.

Source:www.worldbank.org/kam

Page 6: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Why Knowledge Economy?

• Because knowledge is the foundation of development and a Sources of Technological Change (Korea example)

• Because a global knowledge revolution, leading into a post industrial society (opportunity for Africa which missed the industrial era)

• Get confidence and move to higher level of reforms and developments

Page 7: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

The Four Pillars of the Knowledge Economy

• A sound economic incentive and institutional regime

• An educated and creative population

• A dynamic information infrastructure

• An efficient innovation system

Source: Carl Dahlman, innovation in African Context- A forum for policymaker (March 2007)

Page 8: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Cross-country Comparison

Source:www.worldbank.org/kam

Page 9: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Knowledge Economy IndexAfrica in World

Source:www.worldbank.org/kam

Page 10: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

The Mozambique Government Commitment on S&T

• Mozambique recognize Science and Technology as a primary productive force and in its Five Years Plan (2005-2009) defined three pillars for Science and Technology:– Scientific Research– Technology Transfer and Innovation– Information and Communication Technology

(ICT)• The S &T strategy was approved in June 2006

and launched in February 2007 by the H.E President of the Republic of Mozambique Mr. Armando Emilio Guebuza.

Page 11: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Strategic Objectives of Mozambique’s Science & technology Strategy

1. Foster a culture of innovation through Mozambican society;

2. Promote grass-roots innovation and of S&T-based approaches by poor and disadvantage communities;

3. Promote R&D and innovation within the industrial and public sectors;

4. Promote the transfer of technology;

5. Promote the use of ICT for good governance and service delivery, and for the diffusion of knowledge, in support of poverty reduction and economic growth;

6. Promote human resources development at all levels in the area of STI;

7. Build and improve the police instruments, institutions and infrastructure of S&T system;

8. Establish funding policies and mechanism for research and innovation;

9. Review, evaluate and enhance the performance of S&T system;

10. Promote the mainstreaming of S&T within all sectors.

Page 12: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Ministry of S&T Vision for S&T

Source: Mozambique Science, Technology and Innovation Strategy( 2006)

Page 13: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

The Role of ICTs in KE

• The Science, Technology and Innovation Strategy of Mozambique recognizes the crucial role of integrating innovation and ICT in all sectors as a facilitating tool that will strengthen capacity, improve corporate governance and increase the government’s effectiveness.

• Mozambique also recognize that ICT skills are fundamental for the public/private sector as:

– increase its efficiency;

– they stimulate its entrepreneurial spirit; and

– play a role towards high quality and diversified production.

Page 14: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

ICTs and Development Plans

Development Development Programmes defined Programmes defined

by the Governmentby the Government

ICTs as Enablers for ICTs as Enablers for Social and Economic Social and Economic

DevelopmentDevelopment

Plan of Action for the Reduction of Absolute Poverty

Government Five Years Plan

Economic and Social Plans

Public Sector Reform Strategy

Agenda 2025 for Mozambique

ICT Policy and Implementation Strategy

e-Government Strategy

Telecommunications Policy and Universal Access Strategy

New Telecommunication Act

Import Tax reduction from 7.5% to 0%

e-Legislation

Page 15: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

ICT Policy Implementation Strategy Projects

Human Capacity SchoolNet MICTI-ICT Institute ICTs Curricula and Certification Youth Programme for Content Development HEI (Universities and Polytechnics)

Infrastructure National Transmission Network VSAT Nework Universal and Affordable e-Mail Access Telecenters Digital Agencies

Content & Applications Info. Sys. For HIV/AIDS Distance Education Knowledge Base for Science and Technology ICT Observatory Country Development Gateway (MzDG)

Policy and Regulation

Capacity Building at INCM Capacity Building at the ICT Policy Commission Telecommunication Sector Reform

E-Government GovNet (Government Net.) SIP 2000 (Public Servants Information Systeml) Civil Identification System State Financial Info. Sys. (e-SISTAFE) Digital Land Registry One-Stop Shop ICT Survey in Public Institutions Electoral Process Info. Sys.

Source: Mozambique ICT policy strategy 2002

Page 16: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Human Resources Development The MICTI Model

“… a long-term vision for building ICT skills and capacity in Mozambique, … through a unique sustainable and supportive environment for the development of entrepreneurial and education activity that facilitate business incubation, technology transfer, training and the commercial exploitation of the knowledge-base”.

Page 17: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

The MICTI concept

Research and Learning Institute

Science and Technology Park

Technology and Business Incubator

Address the dire need for skilled

personnel in Mozambique and in

the region

Nurture entrepreneurial skills providing employment and wealth generation opportunities

Participation of international and domestic organizations

that will provide expert input, seed knowledge and

innovation capacities.

Source: MICTI Business Plan, 2002

Page 18: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

The MICTI Model – Objectives

• Promote corporate R&D research activities between private industry, research institutions, and academia

• Provide a range of specialist support services and supporting start-up– business incubation, risk capital financing, R&D and product development, entrepreneurship development, management training, etc.

• Facilitate the development of business and technical know-how that contributes to fight against poverty through expanding citizen’s access to global knowledge resources and attracting foreign investment and new partnerships into Mozambique.

• Provide tenants with access to high quality, secure and reliable physical and communications infrastructure and services to tenants that minimize their operation and development cost

• Creating in Mozambique an anchor project in ICT related fields that reinforce the linking of the country into the Global Information Society.

Page 19: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

The ICT industrialization Project: Recommendations

• Creation of an enabling environment that will allow more involvement of private sector in the production and delivering ICT products and services/solutions.

• Creation of a workgroup of professionals and practitioners to handle the task and implement flagship projects. The identified typical workgroups included following areas:

– Free and Open Source Software (FOSS);– E-Learning and Online Content Creation;– Information Security;– Infrastructure Development.

• Improvement of education (Human Capacity Development) - as one of the drive forces for the sustainable development of ICT industrialization in Mozambique and Africa in general;

• Identification, motivation and supervision of future entrepreneurs;

• Use the MICTI project as model for innovation and entrepreneurship development.

Page 20: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

The ICT industrialization Project: implementation of the findings

Based on the above recommendations and on the strategic objectives of Mozambique Government the team proposed to implement a model which will contribute on the development of human resource and creation of entrepreneurs that will accelerate the development of ICT industry.

• Develop skills in the area of ICTs and management;• Create opportunities to the youth to develop business in

the area of ICT applications;

Page 21: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

The Industrialization Model

Mid-levelcourse

Business incubator

Short termcourse

Research and Development

projects

Small Entreprise, Just after the incubation

Small and medium Enterpriise – Existing in Market

Decision Point

Students/ MICTI client

En

ablin

g

enviro

men

t

Page 22: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

The combination of the training and the incubation will:

• Increase the capacity of the existing ICT companies in term of the quality and diversity of the services (the ICT industry will grow in tem of quality and number of services);

• Increase the number of ICT companies in the market (grow the ICT industry in number);

• Create new Jobs and Increase the labor market (incubation);

• Exploit with innovative solutions new opportunities such us e-government/e-services, mobile applications (m-baking/mcomerce)

• Private sector and other ICT practitioners involved on training, curriculum development, supervision during the internship programs and mentoring on specific area.

Page 23: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Roll Out of the Model

• Start of the implementation of the Centre for Technology Development (CDT) -Transform the military barrack in centre of excellence in S&T;

• Start of the ICT mid-level professional course (18 mounts course including 6 mouths of internship);

• Graduation of the first 3 companies incubated at MICTI – each companies end up with a minimum of 3 employees;

• Research activities in low cost communication technology;• Signature of MoU between the ministry of S&T with Sahara

holdings to install a computer assembly line at CDT;

Page 24: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Conclusions

• S&T affect the degree of job-creation enhancing competitiveness increasing the demand for labor. To enjoy the positive effect of S&T its necessary:– To have skilled human capital;– To make the education system more demand driven;– To develop a diversified science and technology

infrastructure, and strong global niches in the IT industry;

– Promote investments in knowledge-related areas;– Increase the role of the private sector and promote

university-industry partnerships;– Invest in research and development;

Page 25: Employment and the Knowledge Economy MICTI 2007 Innovation, Science and technology Policy For The Knowledge Economy - the Case of Mozambique by Constantino

Employment and the Knowledge Economy MICTI 2007

Thank you for your attention!

http//www.micti.co.mz

[email protected]