THE PATH TO THE DIGITAL ECONOMY: EXPLORING THE FACTORS INFLUENCING ICT EXPORTS IN THE CAUCASUS AND CENTRAL ASIAN COUNTRIES

Abstract

In the era of digital transformation, the export of information and communication technologies (ICT) plays a crucial role in economic development. This study examines the impact of higher education quality on ICT exports in the Caucasus and Central Asian countries. The relationship between human capital, investments in research and development (R&D), demographic factors, and ICT export volumes is analysed. The methodological framework is based on an econometric panel data analysis for the period 2014–2023, using a fixed-effects model. The findings reveal that a high level of education and investments in R&D positively influence ICT export growth, while a high proportion of young population has a mixed effect. A positive correlation between GDP per capita and ICT export performance is identified. The results contribute to policy recommendations for strengthening educational programs and fostering innovation to enhance the region’s competitiveness in the global digital market.