IMPACT OF DIGITAL TRANSFORMATION PROCESSES ON THE COMPETITIVENESS OF THE NATIONAL ECONOMY

Abstract

This article examines the impact of digital transformation processes on the competitiveness of the national economy in the context of modern economic development. Digital transformation is considered not only as the introduction of information technologies into business and public administration, but also as a systemic change that affects production efficiency, labor productivity, innovation capacity, market transparency, financial inclusion, export potential, and the quality of institutional governance. The study emphasizes that the competitiveness of the national economy increasingly depends on the level of digital infrastructure, the development of digital skills, the use of artificial intelligence, big data, cloud technologies, electronic commerce, digital financial services, and automated management systems. In the conditions of rapid technological change, countries that successfully integrate digital tools into economic sectors gain advantages in productivity, investment attractiveness, service quality, and participation in global value chains. At the same time, digital transformation creates a number of challenges, including the digital divide, cybersecurity risks, shortage of qualified specialists, uneven technological development of regions, and insufficient adaptation of enterprises to digital business models. The article argues that strengthening national economic competitiveness requires a coordinated approach based on digital infrastructure development, support for innovative entrepreneurship, modernization of education, improvement of regulatory mechanisms, and active implementation of digital platforms in industry, services, finance, transport, and public administration. The findings show that digital transformation can become a strategic factor of sustainable economic growth if it is implemented as a comprehensive policy combining technological modernization, human capital development, institutional efficiency, and private sector innovation.