ASSESSING THE IMPACT OF DIGITAL INFRASTRUCTURE DEVELOPMENT ON LOCAL ECONOMIC DEVELOPMENT DE-OCCUPIED TERRITORIES

Abstract

Digital infrastructure is an important factor in socio-economic development, especially in the de-occupied (affected) territories that have been destroyed and need to be restored. Given the current challenges associated with digital transformation and economic integration, there is a need to develop methods for assessing the impact of digital infrastructure on local economic development. The article is aimed at developing approaches to assessing the impact of digital infrastructure on the local economic development of the de-occupied (affected) territories. Methods used in the study: modified multiplier method, system approach, analytical and indicator methods, etc. Research hypothesis: the  development of digital infrastructure in the de-occupied territories will contribute to their economic growth, which needs to be evaluated through the use of unique methods due to martial law. Presentation of the main material. The article considers well-known scientific and methodological approaches to assessing the impact of digital infrastructure on local economic development and notes that the development of digital infrastructure usually has a positive impact on local economic development. It is proposed to use the method of a modified multiplier, which allows to assess the impact of digital transformation development on local economic development using special indices that have been tested. It is determined that the impact of the development of digital infrastructure in the Kyiv region is insufficient and/or slow during 2022-2024 according to the results of the calculation of the Index of Local Economic Development through the Digitalization of the Region and the Index of Transformation of the Digital Infrastructure of the Region. The originality and practical significance of the study lies in the feasibility of assessing the strength of the impact of the digital transformation of the de-occupied territories on local economic development and the possibility of using a modified multiplier of influence by local governments, scientists and experts in the field of regional development. The Digital Infrastructure Transformation Index (DDI) is a tool for measuring successive changes in the state of development of digital infrastructure and its readiness to support the digital economy, calculated as an increase in costs for the formation of digital infrastructure and/or the dynamics of changes in its components. The Index of Local Economic Development through Digitalization (IMERC) - is a tool for measuring the economic effect of digitalization through the development of digital infrastructure and the introduction of digital technologies in the life of the region. Conclusions. Digital infrastructure is a key element of the socio-economic recovery of the de-occupied territories, and the proposed assessment method will contribute to improving the quality of strategic planning for the development of the de-occupied (affected) territories. Further research is focused on adapting global digital transformation practices to local infrastructure development conditions.