Cyber law and cyber security in support of economic development

1. Cyber law and cyber security in support of economicdevelopment Cécile Barayre-El Shami Programme Manager, E-Commerce and Law Reform ICT Analysis Section, UNCTAD cecile.barayre@unctad.org Harmonizing cyberlaws in ECOWAS, Accra, 18-21 March 2014

2. Why cybersecurity matters? Cyberattacks have the potential to destabilize on a global scale. Cybersecurity must therefore be a matter of global concern. We need to work together to bolster confidence in our networks, which are central to international commerce and governance. We need to strengthen national legislation … push for international frameworks for collaboration … and adopt the necessary measures to detect and defuse cyber threats. Mr. Ban Ki-moon, UN Secretary-General, Seoul Conference on Cyberspace, Seoul, Republic of Korea, October 2013

3. Scope for more online activities thanks to improved ICT connectivity • Increased capacity of submarine fibre-optic cables connecting developing countries to cyberspace • 18% Internet users in Africa • Widespread adoption of mobile devices • Nearly as many SIM cards as people • Smartphone sales surging • 63.5% mobile-cellular subscriptions in Africa • Mobile broadband in Africa • Mobile-broadband subscriptions: 10.9 percent • Fixed (wired)-broadband subscriptions: 0.3 percent • Increased use of cloud computing – security and privacy implications of processing personal data remotely • Webmail and social networks, business applications and G-cloud • E-government initiatives Sources: ITU, GSMA, UNCTAD (2014)

4. Text messaging (SMS) Mobile money Expanding fastest in low-income countries: huge opportunity to improve financial inclusion with 2.5 billion unbanked in lower to middle income countries More than 110 deployments in Africa out of 225 (March 2014);ECOWAS represents 40 percent Benefits for micro and small enterprises Faster and cheaper basic money transfers and payment functions Merchant payments Mobile solutions to international remittances (still nascent) Lower transaction costs for micro-finance (still nascent) Mobile micro-insurance (still nascent) Exponential growth of mobile transactions Eg: In Kenya, frauds involving mobile banking are amongst the fastest growing cybercrime category New forms of mobile use Sources: UNCTAD, GSMA, ITU, national data, Gartner, J.M. Ledgard.

5. Rise of social media • Facebook users in Africagrowingfast • 2013 (March): 50 million; 7% average penetration • Largest number of users in Egypt, South Africa and Nigeria • Cost-effective alternative to traditional websites • Mobile version of Facebook particularlypopular • Used by >75% of users in Botswana, Malawi, Namibia, Nigeria and South Africa • Requireslessbandwidth • Twitter • Most tweets sent from South Africa, Kenya, Nigeria, Egypt and Morocco. Sources: Socialbaker, UNCTAD, www.jeffbullas.com.

6. Signs of rapidgrowthof e-commerce in developing countries • B2C e-commerce sales in 2012: $1 trillion • China, India and Indonesiaexpected to growfastest in 2013 • China • E-commerce has grown by 120% a yearsince 2003 • Surpassed the US in 2013 as largest e-commerce market • Requested UNCTAD to reviewits e-commerce legislation (2014) • Latin America: from $1.6 billion to $43 billion in past decade • Brazil accounts for largest market share (59%) • Middle East and Africa: share in global e-commerce expected to risefrom 1.6% to 3.5% by 2016 Sources: Economist, Morgan Stanley, eMarketer

7. Issues to address: a long list • Cybersecurityis multi-dimensional and complex • Sovereignty, freedom of expression and privacy • No international framework and cooperation to address cybersecurity • Strenghten the infrastructure and e-payment systems • Lackof capacity: • Policy and lawmakerspreparingand enforcinglaws • Technicalskills (securitysystems and CERTs) • Enforcement law bodies • Differencesamong countries • Legislation, capacity, resources • Regional agreements/frameworks • Need for more coordinated approaches among the various actors providing assistance • Need to anchor ICT, including cybersecurity issues in the post-2015 MDGs

8. UNCTAD's work on cyberlaw harmonization • Provide technical assistance to more than 40 countries in the preparation of an enabling legal and regulatory environment for e-commerce • In Africa: EAC and ECOWAS, Ethiopia • Raise awareness and build capacity of policy and law makers, including parliamentarians • Online and face-to-face training course on the “Legal Aspects of E-commerce” : legal validity of e-transaction, consumer protection, taxation, security, privacy, IPRs, content regulation • Reviews of national laws and regional agreements • Preparation of regionally harmonized legal frameworks • Programme funded by Finland

9. UNCTAD's cybersecurity assistance in ECOWAS • Project started in 2013 in cooperation with the ECOWAS Commission • To support the implementation at the national level of existing legal frameworks on e-transactions (Supplementary Act A/SA.2/01/10), cybercrime (Directive 1/08/11) and personal data protection (Supplementary Act A/SA.1/01/10) • To review e-commerce law harmonization • Partners: AU, UNCITRAL, ITU • Building capacity of policy and lawmakers • 220 trained through distance learning (Ocotber 2013) • Two regional workshops (Dakar, February 2014; Accra, March, 2014) • New online course on the Legal Aspects of E-Commerce in October 2014 • Review on cyberlaw harmonization - recommendations to further cyberlaw harmonization "If we want to promote e-commerce in the region, we must raise consumer confidence in computer security and electronic transactions" - Dr. Raphael Koffi, Principal Programme Officer and Head of Telecommunication/ICT Division, ECOWAS Commission

10. Thankyou for your attention! http://unctad.org/ICT4D Cecile.barayre@unctad.org