The potential for digitalization in countries continues to face a number of challenges that hinder both the sustainability of digitalization initiatives and the expected benefits. Taking a critical approach to a realistic perspective, this article examines the main cause-and-effect factors and indices that characterize the digitalization of the economy of a country or business entity. .New digital technologies are rapidly penetrating the economy of various countries and regions, having a significant impact on the development of its infrastructure and economic efficiency. The effectiveness of the latest digital technologies is becoming a key element of international economic competition. The increasing use of modern information and communication technologies is becoming a prerequisite for the emergence and development of new effective management technologies, business practices and successful business operations. Therefore, most countries and regions stimulate these processes at the state and regional levels. To ensure the systematic implementation and development of digital technologies, it is important to develop methodological approaches to assessing the level of digitalization of countries and regions.