DIGITAL ECONOMY IN BRICS COUNTRIES: OPPORTUNITIES, OBSTACLES AND EXPERIENCE SHARING

Annotasiya

This article examines the development of the digital economy in BRICS countries, focusing on the opportunities, challenges, and the importance of experience sharing among member states. It highlights the role of digital technologies—such as artificial intelligence, big data, fintech, and e-commerce—in driving economic modernization and competitiveness. The study also analyzes the structural barriers faced by BRICS nations, including digital inequality, infrastructure gaps, and regulatory issues. Furthermore, the article emphasizes the significance of mutual cooperation and knowledge exchange in accelerating digital transformation and shaping a more inclusive global digital order.

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  • Teaching lecturer at the Department of Agricultural Economics, Faculty of Agricultural Economics, Logistics and Services, Tashkent State Agrarian University."
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Pirmatova , D. (2025). DIGITAL ECONOMY IN BRICS COUNTRIES: OPPORTUNITIES, OBSTACLES AND EXPERIENCE SHARING. Journal of Applied Science and Social Science, 1(7), 77–81. Retrieved from https://www.inlibrary.uz/index.php/jasss/article/view/136633
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Annotasiya

This article examines the development of the digital economy in BRICS countries, focusing on the opportunities, challenges, and the importance of experience sharing among member states. It highlights the role of digital technologies—such as artificial intelligence, big data, fintech, and e-commerce—in driving economic modernization and competitiveness. The study also analyzes the structural barriers faced by BRICS nations, including digital inequality, infrastructure gaps, and regulatory issues. Furthermore, the article emphasizes the significance of mutual cooperation and knowledge exchange in accelerating digital transformation and shaping a more inclusive global digital order.


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DIGITAL ECONOMY IN BRICS COUNTRIES: OPPORTUNITIES, OBSTACLES AND

EXPERIENCE SHARING

Pirmatova Dilnozа Ortiqboyevna

Teaching lecturer at the Department of Agricultural Economics, Faculty of Agricultural

Economics, Logistics and Services, Tashkent State Agrarian University."

Email:

nozikdil@gmail.com

Annotation.

This article examines the development of the digital economy in BRICS countries,

focusing on the opportunities, challenges, and the importance of experience sharing among

member states. It highlights the role of digital technologies—such as artificial intelligence, big

data, fintech, and e-commerce—in driving economic modernization and competitiveness. The

study also analyzes the structural barriers faced by BRICS nations, including digital inequality,

infrastructure gaps, and regulatory issues. Furthermore, the article emphasizes the significance of

mutual cooperation and knowledge exchange in accelerating digital transformation and shaping a

more inclusive global digital order.

Keywords:

digital economy, BRICS, innovation, infrastructure, cybersecurity, knowledge

sharing, economic transformation

Introduction.

The digital economy has emerged as one of the most influential forces

shaping global development in the twenty-first century. It refers to economic activities that are

based on digital technologies, including the use of the internet, digital platforms, e-commerce,

fintech, big data, cloud computing, and artificial intelligence. The spread of these technologies

has fundamentally transformed production processes, consumer behavior, governance structures,

and international trade. As a result, countries across the world are seeking to integrate digital

strategies into their economic and social policies to remain competitive in the rapidly evolving

global environment. For BRICS countries—Brazil, Russia, India, China, and South Africa—the

digital economy plays a particularly strategic role. Together, these five nations represent more

than 40% of the global population and nearly one-quarter of global GDP, making them an

essential part of the international economic order. Their demographic potential, growing middle

classes, and expanding technological capabilities provide fertile ground for digital innovation

and transformation. Moreover, the digital economy offers BRICS members an opportunity to

diversify away from resource-dependent or traditional industries, boost productivity, and

strengthen their positions in the global value chain. However, the road toward digital

transformation in BRICS countries is not without challenges. Uneven levels of infrastructure

development, gaps in regulatory frameworks, cybersecurity risks, and digital divides between

urban and rural populations represent significant barriers. At the same time, the rapidly changing

nature of digital technologies requires constant adaptation, innovation, and investment. These

factors highlight the importance of international cooperation and knowledge sharing within

BRICS. By learning from each other’s experiences—China’s progress in e-commerce, India’s

digital governance programs, Russia’s cybersecurity expertise, Brazil’s digital agriculture, and

South Africa’s infrastructure initiatives—the group can strengthen its collective ability to

overcome obstacles and accelerate sustainable digital growth. This article explores the


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opportunities, obstacles, and experience-sharing mechanisms shaping the digital economy in

BRICS countries. By analyzing these dimensions, the study seeks to demonstrate how

cooperation in the digital sphere can enhance economic resilience, foster innovation, and

contribute to the creation of a more inclusive global digital order.

Literature analysis

. The digital economy has been widely studied across different

contexts, and the academic debate highlights its transformative potential as well as the barriers to

its development. Early conceptualizations by Tapscott (1996) emphasized how digital networks

and information technologies redefine business models and consumer behavior, laying the

foundation for later discussions on digital transformation. More recent works expand this

perspective, viewing the digital economy as a comprehensive system that reshapes economic,

social, and political relations. According to OECD (2019), the digital economy encompasses e-

commerce, digital platforms, artificial intelligence, and data-driven innovation, all of which are

reshaping global value chains. The report stresses both the opportunities—such as productivity

growth and inclusion—and the challenges, including digital divides and cybersecurity threats.

Similarly, UNCTAD (2021) notes that the digital economy is increasingly central to

development strategies in emerging markets, including BRICS countries, where rapid

digitalization is creating new business opportunities but also amplifying inequalities. Several

studies specifically address BRICS countries. Li and Wang (2020) analyze China’s “Digital Silk

Road” initiative, highlighting its role in advancing cross-border digital infrastructure and setting

standards for global cooperation. Gupta (2021) investigates India’s Digital India program,

showing how digital governance and fintech innovations support economic modernization and

financial inclusion. Ivanov (2020), focusing on Russia, emphasizes the importance of legal and

regulatory frameworks for the stable growth of the digital economy, particularly regarding data

protection and cybersecurity. For Brazil and South Africa, the World Bank (2022) highlights

both progress and challenges. In Brazil, digital services have been expanding in sectors such as

agriculture and public administration, while South Africa continues to face infrastructural

constraints but shows potential in expanding internet access and digital skills. Brynjolfsson and

McAfee (2017) add a broader perspective, arguing that digital technologies generate both

opportunities and risks: they can significantly increase efficiency and innovation but may also

displace traditional jobs, requiring policy responses to ensure inclusive growth. Taken together,

the literature suggests that BRICS countries share common opportunities in expanding digital

platforms, attracting investments, and fostering innovation, while also struggling with similar

obstacles such as inequality, regulatory gaps, and skill shortages. Importantly, multiple authors

stress the need for international cooperation and experience sharing among BRICS nations to

overcome these challenges and build sustainable digital economies.

Materials and Methods.

This study applies a qualitative and comparative approach to

examine the development of the digital economy in BRICS countries. The methodology is based

on the analysis of secondary sources, including policy documents, statistical databases, and

scholarly literature. The main aim is to identify opportunities, obstacles, and experience-sharing

practices relevant to digital transformation within the BRICS framework.

Materials.

The research draws on the following sources:

International reports from organizations such as the OECD, World Bank, and UNCTAD,

which provide statistical data and policy assessments on the global digital economy.


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Government programs and strategies from BRICS countries, such as Digital India,

China’s Digital Silk Road initiatives, Russia’s Digital Economy Program, Brazil’s

national digital strategies, and South Africa’s digital infrastructure plans.

Academic literature and case studies (e.g., Tapscott, 1996; Gupta, 2021; Ivanov, 2020; Li

& Wang, 2020) that analyze specific aspects of digital economy development and

governance in BRICS nations.

Empirical data from international databases covering internet penetration, digital trade,

ICT infrastructure, and innovation indices.

Methods.

1.

Comparative analysis. The study compares digital economy indicators across

BRICS members to identify similarities and differences in their developmental paths.

2.

Content analysis

.

Policy documents, strategic frameworks, and official reports are

examined to understand national priorities and implementation strategies.

3.

Statistical analysis. Key indicators such as internet access, e-commerce volume,

and digital service adoption are evaluated using World Bank and OECD data.

4.

Systemic approach. The digital economy is analyzed in relation to infrastructure,

innovation capacity, human capital, and regulatory frameworks to capture its multi-

dimensional nature.

By integrating these methods, the study provides a holistic understanding of the

opportunities and challenges in BRICS digital economies, as well as the potential for mutual

learning and cooperation.

Research Discussion.

The findings of this study highlight both the dynamic potential and

persistent challenges of the digital economy in BRICS countries. While each nation demonstrates

distinct characteristics and priorities, common patterns emerge that underline the importance of

collaboration and experience sharing. Opportunities for growth. China and India stand out as

global leaders in e-commerce, mobile payments, and digital services, largely due to their vast

consumer bases and rapid adoption of new technologies. Their experiences suggest that scale and

strong state-led programs can accelerate digital transformation. Brazil and South Africa,

although smaller in market size, are integrating digital solutions into agriculture, public

administration, and financial inclusion, demonstrating that digital technologies can support

diverse sectors beyond IT. Russia’s focus on cybersecurity and digital governance provides

another valuable area of expertise, especially as cyber threats become more sophisticated

globally. Collectively, these experiences illustrate how the digital economy fosters

diversification, creates jobs, and strengthens competitiveness. Persistent challenges. Despite

significant progress, digital divides remain a critical issue in BRICS countries. Urban areas are

generally well connected, while rural and underdeveloped regions lag behind, limiting inclusivity.

Infrastructure constraints—such as low broadband penetration in South Africa and parts of

Brazil—hinder equal participation in the digital economy. Moreover, regulatory challenges,

particularly in areas of data privacy, intellectual property, and cross-border digital trade, remain

unresolved. These obstacles highlight the need for coordinated policy frameworks both at the

national and international levels. The role of cooperation. One of the most important insights is

the value of experience sharing within BRICS. For instance, India’s Digital India program offers

lessons in digital governance that could be adapted by Brazil and South Africa. Similarly,

China’s success in scaling e-commerce platforms provides a model for integrating digital trade in


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emerging economies. Russia’s expertise in cybersecurity is particularly relevant for all BRICS

members, as cyber risks represent one of the biggest threats to digital growth. Through joint

initiatives, capacity building, and technology transfer, BRICS countries can mitigate their

weaknesses and enhance collective digital resilience. Global implications. The digital strategies

of BRICS countries also carry significance beyond their national borders. By strengthening their

cooperation, BRICS can play a more active role in shaping global digital governance, setting

standards for cross-border data flows, and promoting a more inclusive digital order. Their

combined demographic and economic weight positions them as influential players in the ongoing

transformation of the global digital landscape. In summary, while BRICS countries are at

different stages of digital transformation, their combined experiences provide valuable lessons

for each other and for the wider international community. Sustainable growth in the digital

economy will require not only national reforms but also robust mechanisms for cooperation,

mutual learning, and coordinated policymaking within the BRICS framework.

Conclusion.

The digital economy has become a central driver of economic modernization

and competitiveness in BRICS countries. It offers vast opportunities for growth, ranging from

the expansion of e-commerce and fintech services to the creation of new jobs and the

diversification of national economies. At the same time, persistent obstacles such as digital

inequality, inadequate infrastructure, cybersecurity risks, and regulatory gaps continue to

challenge the pace and inclusivity of digital transformation. The analysis shows that while China

and India lead in scale and innovation, Brazil and South Africa demonstrate sector-specific

applications, and Russia contributes significantly in areas of cybersecurity and digital

governance. This diversity underscores the potential of experience sharing within BRICS, where

each country brings unique strengths that can support the collective advancement of the group.

Looking ahead, deeper cooperation among BRICS nations will be essential to overcoming

existing barriers and shaping a more sustainable and inclusive digital economy. Joint initiatives

in digital infrastructure development, policy harmonization, cybersecurity, and capacity building

can not only accelerate transformation within BRICS but also strengthen their influence in global

digital governance. By pooling resources, sharing knowledge, and coordinating strategies,

BRICS countries have the potential to emerge as key architects of the future digital order.

References:

1. Tapscott, D. (1996). The Digital Economy: Promise and Peril in the Age of Networked

Intelligence. New York: McGraw-Hill.

2. OECD. (2019). Measuring the Digital Economy. Paris: OECD Publishing.

3. UNCTAD. (2021). Digital Economy Report 2021: Cross-border Data Flows and

Development. Geneva: United Nations.

4. Li, J., & Wang, H. (2020). Digital Silk Road and BRICS Cooperation. Beijing: Tsinghua

University Press.

5. Gupta, R. (2021). Digital India and Economic Transformation. New Delhi: Springer.

6. Ivanov, A. (2020). Legal Aspects of Digital Economy Development in Russia. Moscow:

Higher School of Economics Press.

7. World Bank. (2022). Digital Economy in Emerging Markets: Focus on BRICS. Washington

D.C.: World Bank.


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8. Brynjolfsson, E., & McAfee, A. (2017). Machine, Platform, Crowd: Harnessing Our Digital

Future. New York: W. W. Norton & Company.

9. Schwab, K. (2016). The Fourth Industrial Revolution. Geneva: World Economic Forum.

10. Bukht, R., & Heeks, R. (2018). Defining, Conceptualising and Measuring the Digital

Economy. Development Informatics Working Paper No. 68. University of Manchester.

11. Foster, C., & Graham, M. (2017). Digital Economies at Global Margins. Cambridge, MA:

MIT Press.

12. PwC. (2020). The Global Digital IQ Survey 2020. PricewaterhouseCoopers International

Limited.

13. Accenture. (2019). The New Digital Economy: How it Will Transform Business. Dublin:

Accenture Strategy.

Bibliografik manbalar

Tapscott, D. (1996). The Digital Economy: Promise and Peril in the Age of Networked Intelligence. New York: McGraw-Hill.

OECD. (2019). Measuring the Digital Economy. Paris: OECD Publishing.

UNCTAD. (2021). Digital Economy Report 2021: Cross-border Data Flows and Development. Geneva: United Nations.

Li, J., & Wang, H. (2020). Digital Silk Road and BRICS Cooperation. Beijing: Tsinghua University Press.

Gupta, R. (2021). Digital India and Economic Transformation. New Delhi: Springer.

Ivanov, A. (2020). Legal Aspects of Digital Economy Development in Russia. Moscow: Higher School of Economics Press.

World Bank. (2022). Digital Economy in Emerging Markets: Focus on BRICS. Washington D.C.: World Bank.

Brynjolfsson, E., & McAfee, A. (2017). Machine, Platform, Crowd: Harnessing Our Digital Future. New York: W. W. Norton & Company.

Schwab, K. (2016). The Fourth Industrial Revolution. Geneva: World Economic Forum.

Bukht, R., & Heeks, R. (2018). Defining, Conceptualising and Measuring the Digital Economy. Development Informatics Working Paper No. 68. University of Manchester.

Foster, C., & Graham, M. (2017). Digital Economies at Global Margins. Cambridge, MA: MIT Press.

PwC. (2020). The Global Digital IQ Survey 2020. PricewaterhouseCoopers International Limited.

Accenture. (2019). The New Digital Economy: How it Will Transform Business. Dublin: Accenture Strategy.