News
Andorra and CEB sign loan to improve digital society and economy
10 February 2022
Although Andorra has one of the highest Internet connectivity rates in Europe and 95.7% of its households have Internet access, it ranks low in terms of availability of public digital services.
The loan will enable the Government of Andorra to offer digital services, such as e-government, e-trade, e-health, and e-education, to more than 70 500 Andorran citizens, as well as to achieve a higher degree of digitalisation of its economy.
“We are very pleased to help the Government of Andorra in their effort to improve the quality of public services offered to citizens,” noted CEB Governor Carlo Monticelli. “Digital transformation is essential to improve the relations between people and public administration in a democratic society.”
The lack of digitalisation in the public and private sector, especially among micro-, small-, medium-size enterprises (MSMEs), affects the country’s competitiveness. Less than 5% of administrative transactions are conducted online and less than 30% of employees possess basic digital skills, which is well below the European Union average.
The adverse impact of COVID-19 on Andorra’s economy has led the authorities to place digital technologies at the core of their recovery strategy. As part of Horizon 23, the government’s “Digital Transformation Programme” envisages more than 100 initiatives to be implemented in the period between 2020 and 2024 at an estimated cost of € 20.6 million.
“Digital technology is a true revolution that impacts all of us in our daily lives”, said Eric Jover Comas, Andorra’s Minister of Finance. “The vision of the Government of Andorra is to turn the Covid-19 crisis into an opportunity and to place digital transition at the service of citizens and businesses to foster a more inclusive post-Covid crisis recovery. The pandemic has shown the shortcomings of our economies when it comes to keeping up with digital transformation and it has accelerated structural changes in this field. We are glad that we can work hand in hand with the CEB to make this common vision possible and to be the first member of the CEB to be granted a loan for a digitalisation project.”
Andorra
Andorra is the latest CEB member country, having joined in May 2020. So far, the Bank has granted €12 million to partially finance extraordinary expenditures resulting from the Covid-19 pandemic, namely the purchase of supplementary medical and pharmaceutical supplies, the acquisition of medical equipment and intensive care beds, as well as salaries and overtime payments for new and existing medical and non-medical staff.
Set up in 1956, the CEB (Council of Europe Development Bank) has 42 member states. Twenty-two Central, Eastern and South Eastern European countries, forming the Bank's target countries, are listed among the member states. As a major instrument of the policy of solidarity in Europe, the Bank finances social projects by making available resources raised in conditions reflecting the quality of its rating (Aa1 with Moody's, outlook stable, AAA with Standard & Poor's, outlook stable, AA+ with Fitch Ratings, outlook positive and AAA* with Scope Ratings, outlook stable). It thus grants loans to its member states, and to financial institutions and local authorities in its member states for the financing of projects in the social sector, in accordance with its Articles of Agreement.
*unsolicited