Industry 4.0 may widen rural-urban gap, says economist

The majority of schools in rural areas in East Malaysia have poor connectivity, an economist says. (Bernama pic)

PETALING JAYA: A rural development expert has questioned the various Industrial Revolution 4.0 (IR4.0) plans mooted by the government, arguing that the benefits may not reach those in rural communities in Sabah and Sarawak.

Madeline Berma, an economist who was previously with Universiti Kebangsaan Malaysia and who specialises in rural development, said the plans might widen the development gap between urban areas such as Kuala Lumpur and Penang, and rural areas such as those found in Sabah and Sarawak.

“The IR4.0 will widen the gap if no efforts are made to address the lack of basic IT infrastructure in rural areas,” she said.

She added that there was very limited internet penetration in Sabah and Sarawak. For 2016, internet penetration in Sarawak stood at 53.0% and Sabah at 43.2%.

She also said there were more than 1,020 dilapidated schools in that region, and the majority of schools in rural areas had poor connectivity.

“Sabah and Sarawak need a lot of catching up to benefit from the IR4.0,” she said.

However, she also acknowledged that IR4.0 had the potential to narrow the development gap if implemented equitably.

The IR4.0 initiatives might encourage massive investments in IT infrastructure and human development in rural areas of Sabah and Sarawak, she said.

“Specifically, by putting digital technology in everyone’s hands,” she said, adding that there could be a “one computer, one home” initiative.

She added that providing more affordable broadband and training to use the technology might help bridge the development gap.

The government could also provide free phones and internet services to longhouses, schools, and libraries in the rural areas of Sabah and Sarawak, she said.

IR4.0 refers to the gradual combination of traditional manufacturing and industrial practices with the increasingly technological world, including the use of artificial intelligence, big data and cloud computing.

The government had provided allocations for various initiatives to encourage IR4.0 in tabling Budget 2019. - FMT