Impact of Digital Transformation on Gross Value Added of Municipalities

The work is devoted to studying the impact of digital transformation on the gross value added of municipalities. The main problem is to identify the key factors that determine the relationship between digital development and economic growth at the local level. The authors emphasize the need for an integrated approach to assessing digital transformation processes. This approach includes an analysis of compliance with regulatory requirements in the field of digital transformation. An important element is the assessment of the social consequences of the introduction of digital technologies. In addition, it is necessary to take into account the economic consequences of the digital transformation of various industries. Particular attention is paid to the role of public administration in creating a favorable environment for digital transformation. It is noted that in order to achieve the maximum effect of digital transformation, it is necessary to adapt existing assessment methods. It is important to take into account the specifics of each municipality. It is also necessary to expand the data sources used for analysis, which will allow for the most objective assessment of the current state of digital development. Based on the data obtained, effective digital transformation strategies can be developed. The results of studies aimed at increasing the potential for digital transformation are of particular importance. The goal is to increase the gross value added of municipalities. It is also important to improve the quality of public services provided. It is necessary to strive to improve the economic environment for businesses and the population. Ultimately, this should lead to stimulation of economic growth at the local level. Authors’ contribution. N.V. Gordeeva – justification of the hypothesis, formulation of the research concept, analysis of the dynamics of the gross value added of the DPR, development of practical recommendations, and justification of the conclusions; S.V. Zemlyanskaya – analysis of the ranking of countries according to the e-government index, justification of the conclusion on the direct impact of digital transformation on the foreign exchange added value of municipalities, and development of practical recommendations.