Developing countries risk falling behind if they fail to take advantage of artificial intelligence (AI), the World Bank has warned.
The warning came in the World Bank’s report The Promise of Artificial Intelligence, released on Thursday (August 6).
According to the report, AI could enable developing countries to accomplish within a decade tasks that might otherwise take centuries. However, governments need to address gaps in electricity, connectivity, skills and institutional capacity to fully benefit from the technology.
The report found that 14.2% of existing jobs in developed countries are at risk from generative AI, compared with 4.5% in low- and middle-income countries.
At the same time, AI could benefit 16.2% of jobs in developing economies, compared with 18.7% in developed countries. The report said the greatest opportunity for developing countries lies not in replacing workers but in enhancing their productivity.
“AI is a lifeline for developing economies, and they should embrace it,” said Indermit Gill, World Bank Group Senior Vice President and Chief Economist.
He said developing countries do not need large AI models or huge data centres to benefit from the technology and could instead adapt smaller, low-cost tools to local needs in areas including healthcare, education, agriculture and justice.
The report said AI is already being used in developing economies to analyse data, improve forecasts, solve problems and deliver services. Governments can also use it for tax collection, social programmes, disaster response, healthcare and education.
However, the World Bank warned that limited electricity, internet connectivity, data, skills and institutional capacity could prevent many developing countries from benefiting from AI. Without targeted action, the technology could widen inequalities between and within countries and create new risks to security, rights and social cohesion.
The report recommends a three-stage approach: adopt readily available AI tools, adapt them to local conditions, and gradually move towards frontier AI development.