Key facts
- Artificial intelligence could enable developing countries to gain a century's worth of development in a decade.
- Emerging economies have more to gain and less to fear from AI than richer nations.
- Generative AI is three times more likely to threaten jobs in rich countries (14.2%) than in low- and middle-income countries (4.5%).
- Governments must improve electricity and internet access, boost digital skills, and expand access to smartphones and computing devices.
- AI could bring greater income inequality, misinformation, and political repression.
Artificial intelligence presents a significant opportunity for developing economies, potentially enabling them to achieve a century's worth of progress in just ten years, according to a World Bank report. The key lies in acting swiftly to address critical gaps in power infrastructure, internet connectivity, and digital skills.
The report suggests that emerging economies stand to gain more and face fewer risks from AI compared to wealthier nations. Specifically, generative AI is found to be three times more likely to threaten jobs in rich countries, where 14.2% of jobs are at risk, compared to 4.5% in low- and middle-income countries. The share of jobs expected to see productivity gains is also comparable, with 16.2% in developing economies and 18.7% in high-income countries.
Indermit Gill, the World Bank's chief economist, emphasized that developing nations do not require vast resources or highly specialized AI models to benefit. Adapting small, low-cost AI tools to local conditions can significantly improve access to essential services like healthcare, education, judicial processes, and agricultural support for millions.
However, the World Bank also cautioned that AI could exacerbate income inequality, facilitate misinformation, and enable political repression. The report stresses the imperative for governments to invest in electricity and internet access, enhance digital literacy, and broaden the availability of smartphones and computing devices. Missing this technological wave could have severe consequences, echoing the missed opportunities of the first Industrial Revolution, which developing economies paid for over the subsequent two centuries.