How the Transatlantic Digital Economy’s Priorities can effect the Overall Economic Growth By: Mirsada Hallunaj.   Digital Economy and Its Importance Considering the widespread impact and the growth of the digital economy on the overall economy, people and governments all over the word are aware of its importance and dynamics. Digital economy or “internet economy” refers to an economy which performs its activities based on digital or other information and communication technologies (ICT). A comprehensive definition on digital economy is given by Professor Stephen M. Mutula in his book “Digital Economies: SMEs and E-Readiness”.[1] The Figure 1 above shows that by comparing some of the priorities[2] or effects of ICT growth, Europe stays behind U.S. in the terms of total growth.[3]                              Figure 1[4] Taken into consideration the dynamics of the digital economy nowadays, both EU and U.S. have expressed theirs commitment on this issue. A key topic between EU and U.S. during the negotiations of Transatlantic Trade and Investment Partnership (TTIP)[5] were to devote a chapter of to the digital economy, the same as for (SMEs). Because of impact the digital economy has on economic growth and high employment opportunities this working paper aims to provide a comprehensive panorama of the digital economy in both sides of the Atlantic and conclude with some important recommendations which can serve as bridging issues for a transatlantic cooperation.   Digital Economy’s Priorities in Europe and U.S. Digital Agenda for Europe (DAE)[6] The Digital Agenda for Europe (DAE) was published for the first time in May, 2010 and contains 101 actions, in 7 pillars (priority areas), the implementation of which is considered highly important because of their direct impact in jobs and economic growth in Europe. The main objective of DAE is to help in the growth of Europe’s economy and empower citizens and businesses improve their access and use of digital technologies. The digital economy is growing at seven times the rate of the rest of the economy.[7] At the official webpage of the DAE it was considered that full implementation of the updated Digital Agenda will have a direct impact on European GDP, investment in ICT, innovation and jobs.[8] The European Digital Priorities are determined by identifying 7 key areas which will help in economical and jobs growth across Europe. Published on 18^th November, 2012[9] the main priorities are:  1. Create a new and stable broadband regulatory environment. 2. New public digital service infrastructures through Connecting Europe Facility loans 3. Launch Grand Coalition on Digital Skills and Jobs 4. Propose EU cyber-security strategy and Directive 5. Update EU’s Copyright Framework 6. Accelerate cloud computing through public sector buying power 7. Launch new electronics industrial strategy – an “Airbus of Chips” The DAE contains 13 specific goals[10] targeted with the use of technologies. The Annual Digital Agenda Scoreboard[11] measures the progress against the above mentioned targets by comparing the progress of each Member State. Other important aspects of the Digital Agenda are presented in their respective sections. These aspects include opportunities, policies and projects in different digital areas: Living Online;[12] Growth & Jobs;[13] About Science and Technology;[14] Telecoms & Internet;[15] Content & Media;[16] The Digital Agenda & You.[17] Despite the commitments to fulfill DAE priorities, the digital economy in Europe is facing many challenges beginning from: a digital single market, cybercrime risks, lack of professional ICT skills, digital literacy and interoperability, investments in networks and R&D, the use of e-Government or other digital services addressing social issues.       United States Digital Framework  In the U.S. the Department of Commerce[18] is the most important government body with its Bureaus responsible for developing policies that facilitate the digital economy. On 28^th January, 2014 the U.S. Commerce Secretary Penny Pritzker addressed the 10^th annual State of the Net conference[19] underlying the commitment to promote policies that support America’s digital economy and good Internet policy that supports entrepreneurs, businesses, and their workers. At the same time The National Telecommunications and Information Administration (NTIA)[20], located within the Department of Commerce, is the Executive Branch agency that is principally responsible by law for advising the President on telecommunications and information policy issues. NTIA’s programs and policymaking focus largely on expanding broadband Internet access and adoption in America, expanding the use of spectrum by all users, and ensuring that the Internet remains an engine for continued innovation and economic growth[21]. Internet Policy:[22] The main goals and priorities are the growth of the Internet, developing policies to preserve an open, interconnected global Internet that supports continued innovation and economic growth, investment, and the trust of its users, the importance of the multistakeholder model of Internet policymaking.  The Department’s Internet Policy Task Force[23] identifies leading public policy and operational challenges in the Internet environment.  The Task Force is committed to maintaining the global free flow of information online[24] and offers the expertise in important issues like online privacy, copyright protection and cubersecurity. Broadband:[25] The main priority is to increase broadband Internet access and adoption in America, which supports economic growth, job creation, and improved education, health care, and public safety. NTIA administers the Broadband Technology Opportunities Program (BTOP),[26] the main goal of which is to expand broadband services access across the United States, within three project categories: Comprehensive Community Infrastructure; Public Computer Centers and Sustainable Broadband Adoption. Other priorities and Initiatives of NTIA are: Domain Name System,[27] Public Safety,[28] Grant Programs,[29] Institute for Telecommunication Sciences[30] and Digital Literacy.[31]    Meanwhile considering the fact that the main goal and impact of digital economy is the economic growth, the State Department of  Economic Growth, Energy, and the Environment[32] has an important role as well in developing and supporting policies related with digital economy, specifically the Bureau of Economic and Business Affairs (divided into seven areas).[33] On 23^rd May, 2012, President Obama issued a directive entitled “Building a 21^st Century Digital Government”.[34] To deliver better digital services to American people it was launched a comprehensive Digital Government Strategy.[35]   A Comparative Approach between EU and U.S. 1. Fragmented Digital Market: First, one of the biggest challenges in Europe remains the Digital Single Market. Many barriers still are present and the free flow of online services across national boarders is problematic. Second is related with EU telecoms market strongly fragmented and insufficient scale due to 200 national operators in Europe compared to 4-5 nation-wide operators in the U.S. and China. American and Asian markets are able to generate and save hundreds of million revenues because of their consolidated markets. The lack of scales-ups in Europe harms industry and investments. U.S. benefits from lower spectrum costs in Europe.[36]                      Figure 2[37] 2. Research and Innovation/Investments: Currently, EU investment in ICT research is still much lower than U.S. levels.[38] Europe must invest more to develop further the research and innovation. Support for R&D in ICT is considered well below the annual growth needed to achieve a targeted doubling by 2020.[39] Europe still lacks Investments for high-speed networks evaluated to 270 bn. EUR. Long term investment in Europe of 130 EUR per capita is well below 170-180 EUR investment in the U.S. and Asia Pacific.     Figure 3[40] 3. Competitiveness: Europe is facing problems and losing ground in almost every segment of the ICT industry. American and Asian companies are dominating global markets. A little more than 10 percent ofglobal ICT revenues aregenerated by Europeancompanies.[41] Many European companies have been bought by American companies (Microsoft-Nokia), have been bankrupted (Siemens Mobile) or have been exited (Ericsson). Global players are entering into Europe’s Digital Economy. Many European industries areincreasingly reliant on non-European ICT players.[42]      Figure 4[43] 4. Regulation Regime: Europe is far-reaching the market regulation as result of hard and traditional regulations, which not meet the investment challenge. One of the main differences between EU and U.S. is that American and Asian companies favorite infrastructure or services competition. At the same time the institutional framework in Europe is much complex and the access is more restrictive. Regulatory regime in Europe favors non-investment unbundles.[44]      5. Decline of Telecom Revenues:  Even the IP traffic grows the revenues goes down and despite huge growth in demand for their services telecoms companies in Europe face decreasing revenues. The contrast is in U.S. and Asia Pacific where revenues are rising.                   Figure 5[45] At the same time a low decline can be identified in wireless service revenues for European companies meanwhile the American companies generate higher revenues for mobile wireless services,[46] which allows U.S. carriers to deploy LTE  much faster than the EU.  Digital economy in Europe has problems with declining EBITDA (Figure 7).      Figure 6[47]                                                           Figure 7[48] 6. The Cubersecurity Challenge: The EU and U.S. are facing nowadays many Cybersecurity threats beginning from cybercrime, data privacy in the cloud, cyber-corporate espionage, terrorism, criminal, hacktivism, government-driven, child abuse or theft and cyber-attacks which threaten the public safety and economic welfare of the biggest businesses. In Europe an integrated cybersecurity data protection and privacy strategy is missing. Security threats are growing in all areas, several million cyberattacks per day.[49] Regarding the data protection and privacy exist a different legislation not only within Europe but compared to the U.S as well. As result of regulations, competition, recession and an overcrowded market, European telcos is losing its identity and consolidation because of mergers or acquisitions even to American or Asian rivals[50] resulting in a dependence to non-EU ICT companies.   Recommendations for Transatlantic Cooperation As it was mentioned above Europe is dealing with many ambitious projects for its Digital Agenda and still many issues are a challenge for itself as well. On the other side the U.S. is paying a huge attention at crucial ICT developments and innovations, considering the huge impact that this sector has in America’s whole economy. Many issues of the digital economy are international by nature and that’s why the transatlantic cooperation is not only highly recommended but at the same time it’s very profitable for both continents. It is very fundamental that EU and U.S. must not see each other as a threat, despite of theirs differences, but learn from each other experiences and cooperate closely in some currently issues listed below which require a special attention and partnership.        Global Internet Governance Internet Governance is an important issue for both EU and U.S. not only as the world’s largest economies, but because the proper use or functioning of the internet is related with the globally data flow having a direct impact in the economic growth and international trade in particular,[51] for services exports that can be increasingly delivered online.

1. Because the Internet is governed by various actors and organizations in multi-stakeholder arrangements, the EU and U.S. must promote proposals that enhance transparency and meet the concerns of all stakeholders involved.
2. The United States and EU must work closely together to set global standards and preserve the openness and freedom of the Internet.
3. During the process of transatlantic consultation must be included different actors from civil society, interest groups, professionals or scientists.
4. Creating global recommendations and comprehensive solutions which would be stable and efficient in the long term, including the responsible bodies, departments or actors from both sides.
5. The current system can be modernized by ensuring it is inclusive and credible enough with efficient accountability. EU and U.S. should globalize key functions of the Internet, by ensuring diverse interests are properly taken into account, preserving the legitimacy of the system.

  Securing Networks and Information Systems (CYBERSPACE) This is a very important issue which requires essential policies and cooperation on both sides of the Atlantic, because it ensures prosperity and keep the online economy running. It is very important for both EU and U.S. to work together and create initiatives by building a mutual and international consensual regarding an open, interoperable, secure and reliable cyberspace, because an open, transparent, secure, and stable cyberspace is critical to the success of the global economy. The European Union is planning to do that through an EU Directive, to boost security and resilience.[52] The U.S. is preparing legislation as well. In this direction the EU and U.S. must:

1. Develop international norms of behavior in cyberspace;
2. Promote compatible policies across the Atlantic;
3. Promote collaboration in cybercrime investigations;
4. Create International cybersecurity capacity building;
5. Secure infrastructure and devices; [53]
6. Secure online safe, trustworthy transactions not hacked or impersonated;
7. Create and open up a transatlantic market of online services for hundreds of millions and enable the data protection and the prevention of online frauds. [54]

  Data protection & privacy Even if the privacy systems in U.S. (many statutory authorities-more sector-specific) and EU (single statutory framework) are structured differently, this is also an area where U.S. and EU can do better in their transatlantic relations, because in the digital age, the collection and storage of personal information are essential. Considering the fact that nowadays data is used by all businesses such as insurance companies, banks, social media sites and search engines it can be considered a key economic asset.  In a globalised world, the transfer of data to third countries has become an important factor in daily life. Vast amounts of personal information are transferred and exchanged every day, around the globe in fractions of seconds. It would be recommended to:

1. Develop efforts in the regulation and law enforcement area. The updating of privacy law in both U.S and EU is very crucial considering the development of new technologies and the use of online data.

2. Facilitate these exchanges of data in the way to encourage innovation and stimulate growth.

3. Ensure more interoperability between the EU, U.S. and third countries.

1. Protect the rights of personal data transferred to third countries.

2. U.S. and EU must create together policies and strategies that are interoperable in the way that data move freely through the transatlantic market place. Data must be provided consistent, high standards of protection.

 

Towards a Transatlantic Digital Single Market

A transatlantic digital single market could be considered a historic opportunity for both EU and U.S. It can be achieved or advanced through the commitment of EU and U.S. to cooperate in the following issues:

1. Market access: create a free flow of online services across EU and U.S.;
2. Promote trade liberalization by cooperating globally;
3. Establish a single are for online payments;
4. Mutual recognition of e-Identification (a common e-ID);[55]
5. Common legal basis or policies/Regulatory Approximation;
6. Approximation and advance more in five initiatives for cooperation and alignment: e-labelling, e-accessibility, e-health, internet of objects, and common principles for Technology standards, parts of TTIP negotiations;
7. Exchange experiences in the professional aspect: a highly educated workforce, top academic institutions and advanced research centers, dynamic research etc.;
8. Work to create a harmonized compatible transatlantic market by reducing the excessive regulatory costs;
9. Coordinate and avoid different policy approaches;
10. Create a joint trade agenda to encourage trade and investments;
11. Harmonisate theirs standards systems for services and products.

An exciting new exhibition offering a fresh insight into expatriate life in The Hague is being organised by ACCESS, the Expatriate Archive Centre (EAC) and the Municipal Archives of The Hague. The exhibition has the working title of “Expat History of The Hague” and will take place from 26 October until 14 November 2015 in The Hague City Hall. The aim of this exhibition is to show The Hague as seen through the eyes of internationals who call – or who once called – this city home. The Municipal Archives of The Hague and the EAC house – among many other collections – materials describing expatriate life in The Hague during different periods of time. ACCESS serves the needs and interests of the current expatriate community in the Netherlands. An exhibition about how expats view The Hague is a perfect opportunity to bring these three special organisations together. Get involved What were your early impressions of The Hague? Perhaps you kept a diary, wrote letters, took photographs, or made notes. Or maybe you know of friends, family or colleagues who previously lived in the city but who have since moved on. These memories of The Hague could be a valuable contribution to the exhibition. The EAC are particularly interested in pieces that are older than 25 years. Get in touch with the EAC before 28 February by emailing events@xpatarchive.com. Don’t let your memories gather dust The EAC preserve stories from expats and internationals all over the world. Where do you keep your mementoes of living abroad? They may be getting damp and fragile in a garage, or dusty and faded in an attic. It’s time to take a fresh look at your life story and get in touch with the EAC. You can be reassured that your privacy needs will be respected, that everything will be well cared for in a professional archival environment, and – once it has been digitalised – you can request a copy on CD to keep and share with your family. Get in touch by emailing welcome@xpatarchive.com.

By Guillaume Kavaruganda, Minister Counselor, Embassy of the Republic of Rwanda. By reading the “underground” newspaper I discovered a Cafe -Bar called “The Lantern” situated Valkenboslaan 23, 2563 CD Den Haag. It is open from Wednesday until Sunday from 5pm until 12am. One evening after concluding more than the 8 hours required by my job, I decided to relax for a short time before going home. Diplomacy, contrary to the common understanding can be a stressful carrier if done in a proper manner. I quite often heard people questioning the reasoning behind having a representation abroad. The perception that diplomats are privileged people sent in other countries far from their homes to pass their times in cocktails, receptions, discussing in soft manner while drinking excellent wine and smoking Cuban cigars before seating behind the chauffeur in an expensive car who will be driving you back in the mansion highly paid by the Government. This kind of mentality is still persistent in the minds of many, and unfortunately few diplomats are behaving in such a way that gives credit to that assumption. We forget easily especially in times of peace the role of diplomacy. We tend to recognize the role of diplomacy in war time and in financial/economic crisis such as the one the world has been through since 2008. Upon entering “The Lantern” you will be welcomed by Donna, the Manager of the place and citizen of the United Kingdom but fluent in Dutch. In case you want to have a dinner the Chef, Mr. Ledio will serve you while hearing live music on piano by Mr. Bart. The clients are from all over the place. I met there people from Santa Lucia, UK, Chili, Italy, Canada, USA, Rwanda, and of course Dutch. The discussions come easily among the people present and all this in an enjoyable atmosphere. The Lantern is a reminder that The Hague is really an international city and a welcoming one. How simple things can give much pleasure!      

By Aldo Rodriguez.   Situated in the heart of The Hague’s Embassy District, the Carlton Ambassador has long enjoyed visits from a variety of dignitaries, such as guests of the Royal Palace, members of the diplomatic community, heads of state, and Hollywood royalty, like Catherine Zeta-Jones. The property sits on the picturesque, chestnut-treelined Sophialaan, in the city centre and is where the royal horse-drawn carriages have departed from with many Ambassadors on their way to meet H.E. King Willem Alexander upon offering their credentials. It has also served as host to the celebration of numerous National Days and other official events in partnership with its neighboring Embassies. In close cooperation with Diplomat Magazine it also hosts the successful monthly Diplomats Meet&Greet events, which offer an informal venue for members of the diplomatic corps to engage with one another and other attendees. The Diplomatic Card will be the proud sponsor of these events in the coming year. The elegant boutique hotel is managed by Arwin Paulides, in entrepreneur-style, as the Carlton Hotel Collection does not have a head office, so they operate autonomously with the individual guest in mind, which sets them apart from chain hotels. Mr. Paulides has been with the Collection for about 15 years, six of which have been as General Manager of this property, and he previously also served as General Manager of the Banks Mansion Amsterdam. In true successful entrepreneur spirit he rose through the ranks and now enjoys managing a highly diverse team of 60 staff members, who offer multi-lingual support to their guests, when needed. His background in food & beverage is evident in the culinary excellence of the hotel’s restaurants and its superb service. Picture by M. van Nieuwkerk The Carlton Ambassador aspires to be a “local hero” and is known for its classic charm and character, perfectly balanced with modern day convenience and personalized service. The property’s recently renovated Signature Rooms are now being complemented by an additional eight gorgeously spacious Ambassador Residences & Suites, for which a meticulous expansion is now underway.  With the development of these residential suites the boutique hotel will be 88-rooms strong by the end of the year. They are perfect for diplomats in need of interim housing &/or the business traveler expecting a longer stay in the City of Peace and Justice. The contemporary Ambassador Residences & Suites, in an adjoining monumental building, are a graceful addition to the mansion-like boutique hotel, as they offer a private entrance, private parking, private meeting/dinning space, and are decorated in rich Dutch-style and color – preserving the historic charm of the rooms, while accentuating them with modern technology features and luxurious bathrooms. The World Luxury Hotel Award’s (WLHA), known to be the pinnacle of achievement for Luxury Hotels worldwide, once again bestowed one of its prestigious awards to the Carlton Ambassador in Johannesburg last year. While the WLHA nominates the hotels in 14 different categories, the winners are determined by guests’ votes – a true testament to their achievement in service excellence. In 2013 the Carlton Ambassador set the benchmark by winning the WLHA’s Continent Awards for Europe’s Best Luxury Hotel category. Mr. Paulides and his team genuinely thank all the readers and guests for their votes and support.    

The Central Election Commission as a fundamental and reliable tool in ensuring the democratic election of the President of the Republic of Uzbekistan.   During the years of independence Uzbekistan has established a stable and dynamic political system, a bicameral parliament working on a professional basis, necessary organizational, legal and logistic conditions for a free and active participation of citizens and political parties in the most important matters of socio-economic development and social construction.   Radical reforms have been implemented in improving the electoral legislation, relevant measures to strengthen the independent activity of the Central Election Commission of the Republic of Uzbekistan as a key body in implementing the principles of openness and transparency of the elections have been undertaken. These factors play fundamental role and guarantee that the elections of the President of the Republic of Uzbekistan scheduled for 29 March 2015 are to be hold in full compliance with national legislation and international law.   In accordance with the legislation, elections of the President of the Republic of Uzbekistan conducted by the Central Election Commission (CEC) of the Republic of Uzbekistan.   The Law “On the Central Election Commission of the Republic of Uzbekistan”, adopted by the Oliy Majlis of the Republic of Uzbekistan in August 2014, significantly expanded and strengthened the status of the CEC as an independent democratic institution.   In particular, this statute provides for the following matters:   Firstly, let us to look at the essence and content of the basic principles of the Central Election Commission’s activity: independence, legality, collegiality, openness, fairness. In particular, the principle of independence implies the implementation of activities of the CEC, regardless of any state bodies, NGOs and officials, interference in its activity is prohibited and shall entail liability under the law.   For example, Article 146 of the Criminal Code sets out the responsibilities of members of election commissions for violating the secrecy of the ballot, forgery of election documents, making fictitious entries in the papers or petitions, miscount votes during organization or holding elections by the officials, representatives of the political parties or self-government bodies, election commissions.   Article 147 of the Criminal Code establishes liability for obstructing the means of violence, threats, deception or bribery of the free exercise of citizens’ right to elect or be elected President of the Republic of Uzbekistan.   Administrative responsibility of the sanctions in the form of fines established Code of the Republic of Uzbekistan on administrative responsibility for the following violations:

• interference into the activity of the CEC of Uzbekistan and election commissions;
• failure to implement the decisions of the CEC of Uzbekistan, as well as election commissions;
• violation of the rights of the candidate, the Trustee, the observer or the authorized representative of a political party;
• violation of the terms and order of election campaign;
• dissemination of false information about candidates, political parties;
• deliberate destruction or damage of information, propaganda materials posted on buildings, structures or other places, in the preparation and conduct of elections;
• violation of the order of financing of elections;
• violation of the order of publication of the results of public opinion polls, forecasts of election results and other studies related to the elections.

  Secondly, law-making norms of the CEC have been identified, which, according to Article 9 of the Law “On the Central Election Commission of the Republic of Uzbekistan” has the right, within its powers to issue regulations, signed by the Chairman and published in the press.   Decisions made by the CEC within its powers are binding on district and precinct election commissions for public authorities, political parties and other non-profit organizations, enterprises, institutions and organizations.   Para 3 of the Article 51 of the Administrative Responsibility Code of the Republic of Uzbekistan imposes sanctions in the form of fines for non-fulfillment of decisions of the CEC, as well as the decisions of election commissions.   Thirdly, it is foreseen to exclude the norm of the law allowing to Oliy Majlis to terminate the activity of the Central Election Commission. While maintaining the current procedure for termination by the Oliy Majlis the activity of the members of the CEC. This innovation is aimed at further strengthening the guarantees of the independence of the Central Election Commission.   In order to ensure transparency of the activities of election commissions, the transparency of their work at their meetings may be attended by representatives of political parties, the media, observers from other countries, international organizations and movements.   At the same time, with regard to international observers, they have the right to attend meetings in which candidates for President of the Republic of Uzbekistan are nominated, the meetings of district and precinct election commissions; be present at the polling station and observe the preparatory work for the placement and sealing of ballot boxes for voting on the issuance of the citizens of ballots; present during the vote counting and tabulation of the precinct election commissions; request and obtain certified copies of the relevant election commission documents on the results of the elections; report their observations to a higher commission, if there is reason to believe that at the polling station had been violations of the Law.   However, in order to avoid interference in the election process, observers shall be prohibited: be in cabin or room for secret ballot during filling in voting paper by voter; influence voters, spread out any propaganda materials or literature; ask voters whom they voted, or render any help to voters during filling in voting paper; interfere in the activity of polling station committee during sealing up of ballot boxes and their unsealing, counting of votes.   Fourthly, it is proposed to establish the following requirements for the candidates to be elected members of the CEC: citizenship of the Republic of Uzbekistan; residence the country for at least five years; age of 25 years; as a rule to have a higher education, work experience in the organization and experience of conducting the elections, the referendum; to be respected by the public.   Fifthly, rule that prohibits members of the Central Election Commission to engage in other paid activities, except for research and teaching is being set.   One of the internationally recognized standards of contemporary democratic elections is holding them their own and independently within competence of the electoral authorities. In order to ensure these conditions, according to Article 19 of the Law «On the Election of the President of the Republic of Uzbekistan»:   Chairman, deputy chairman, secretary and members of the Central Election Commission may not be member of political party.   Candidates for President of the Republic of Uzbekistan and their proxies may not be members of election commissions.   One and the same person may be only a member of one electoral commission.   In general, all these legislative provisions, taken measures to improve the electoral legislation, the independence and impartiality of the CEC indicate that Uzbekistan has a modern electoral system that meets the requirements of a democratic, effective formed in line with international norms and principles of electoral legal framework of elections, provides a guarantee of free will of citizens, the right of everyone to freely elect and be elected to representative bodies of state power, as well as to monitor this process both within the country and from abroad.