Debate. The digital powerhouse is conspicuous by its absence
The Government's budget proposal was recently submitted to Parliament. The budget proposes measures for sustainability and growth as well as for innovation and the labor market. But the fact that digitalization and the connected society are a basic prerequisite and enabler in all these areas has apparently been completely missed.
Sweden, like the rest of the world, is in the midst of a strong structural transformation that has accelerated even more during the pandemic. A shift that involves high digitization pressure with a major impact on all industries, the economy, jobs and welfare. Against this backdrop, it is very surprising that the digital drive is conspicuous by its absence in the budget.
Broadband investments are welcome - but the long-term perspective is lacking
As regards digital infrastructure, the government is presenting an additional SEK 500 million for broadband expansion next year. In total, around SEK 1.3 billion will go to support funds in 2022. This is an important and welcome step towards the goal of ensuring that everyone throughout the country has access to fast and stable broadband. But as so often in digitization policy, a more long-term, sustainable perspective is missing. In the next budget, we would like to see a long-term investment so that market players know what to expect and plan their activities accordingly.
Limited investment in digital skills despite huge demand
At a time of high demand for digital excellence, the government's investments, with a few exceptions such as the continued investment in universities of applied sciences, are too limited. In higher education and research, individual initiatives in AI and cybersecurity are highlighted, which is good. But overall, so much more is needed. Investments that pay off and lead to jobs and development.
Welfare digitization lacks a holistic approach
The government has decided to allocate special funds to the digital infrastructure of welfare. This is a welcome investment to increase the pace of welfare digitization and to strengthen the conditions for information exchange. But that's where it stops, and it's not nearly enough. Let us therefore hope that this SEK 50 million per year 2022-2024 is the start of a larger investment in the area in the future. We are losing out to other countries and more of a holistic approach is needed here to meet the challenges of welfare in the future.
Digitalization is not seen as a prerequisite for sustainable development
The government is presenting initiatives on climate and the environment, both in connection with the recovery from the pandemic and in terms of the transition to a circular economy, with the aim of taking Sweden towards the goal of becoming the world's first fossil-free welfare state. We definitely share this goal, but the government seems to lack the insight that the green transition requires and is enabled by the digital transition.
Lack of leadership and lack of clarity around the force multiplier program
The bill has a promising headline: "Clear leadership and governance to develop digitalization policy". Unfortunately, the running text consists only of an account of what the government has done during the year. The assignment given to four agencies under the leadership of Vinnova by the government to develop a program of action is only briefly touched upon with a draconian "the assignment was reported on 17 May". What the government intends to do with the reported assignment or ambitions in general is unknown and nothing is mentioned in the bill.
There are certainly positive initiatives in the budget, but they are fragmented and, above all, there is a lack of vision to meet the societal challenges and equip Sweden for the future with ambitious investments in digitization and sustainability. When other countries make aggressive investments, for example with the help of the EU's restart fund, we unfortunately see none of this in this budget proposal.
Our hope and demand of the incoming government is that it will take a holistic approach to digitization. Once and for all. The opportunities of digitization need to run like a red thread through all policy areas. A review of digitization policy, its governance and implementation is therefore needed. We need to do this to create jobs, safeguard welfare and adapt to climate change, but also to maintain and develop Swedish competitiveness. A world-leading tech sector is an absolutely essential success factor. Ahead of the election and the next term of office, we hope that Sweden will raise its level of ambition to regain the lead as a digitalizing nation. Regardless of government.
Christina Ramm-Ericson, Head of Industrial Policy, IT&Telecom Industries