1. Digital technology creates opportunities to accelerate growth - but these are often missed because fi rms in sectors where technology's impact is greatest are frequently protected from innovative competitors. 2. Firms that face more competition use digitaltechnology more intensively and effectively-”it enablesthem to reduce their costs to outperform their competitors.(c)The impact of digital technology on economic growth is mediated through three mechanisms-”inclusion - effi ciency - and innovation. 4. But fi rms in developing countries do not necessarily have the incentive to adopt new technologies to increasetheir cost effectiveness because they are often protected from domestic or foreign competition. 5. And it is precisely in protected sectors such as retail and wholesale trade - fi nance - transport - or public utilities where digital technology can increase productivity the most.