AI can give developing countries 100 years of growth in 10 years: World Bank

 AI can give developing countries 100 years of growth in 10 years: World Bank

According to the World Bank, artificial intelligence (AI) can enable developing countries to achieve a century of development within just a decade. According to the report released by the World Bank on Tuesday, this achievement can be achieved if the shortage of electricity, internet connectivity and necessary skills can be addressed quickly.

According to the report, the risk of widespread job losses due to AI is relatively low in emerging economies. The World Bank has concluded that countries with developing economies can benefit more from AI than rich countries and have less to fear.

"AI presents a huge opportunity for developing economies and they should not miss it," World Bank Chief Economist Indramit Gill said in a statement accompanying the report.

Companies around the world are investing billions of dollars to benefit from the potential AI revolution. In addition, the governments of various countries are making necessary policies and preparations to ensure that their countries can also get the maximum benefit from it.

For many companies and countries, building large data centers and providing sufficient power generation to operate them has become a major challenge due to the increasing energy requirements along with the expansion of AI. However, according to Gill, countries with emerging economies do not need to invest huge resources or develop their own Large Language Model (LLM) to benefit from AI.

"If small and low-cost AI tools can be adapted according to local needs and conditions, quality healthcare, education, judicial services and agricultural extension services can be made accessible to millions of people," said Gill.

With the use of AI, health workers can speed up the diagnosis process, teachers can make teaching plans more effective, and farmers can get help in deciding which crops to plant and when.

Earlier, the International Monetary Fund (IMF) also said that under the right policies and conditions, AI could contribute to the growth of sub-Saharan Africa's economy by about 4 percent over the next decade.

The risk in employment is low, but the challenge is serious

According to a report by the World Bank, the possibility of employment being affected by generative AI in developed countries is three times higher than in developing countries. It is estimated that 14.2 percent of jobs in developed countries are at risk, while in low- and middle-income countries this share is only 4.5 percent.

However, the proportion of jobs expected to see significant productivity improvements from AI is about the same in both groups. According to the report, 16.2 percent of jobs in developing economies and 18.7 percent of jobs in high-income countries will directly benefit from AI.

The report suggests that to fully utilize the potential of AI, governments should expand electricity and internet access, increase investment in digital skills development, and facilitate citizens' access to smartphones and computing devices.

However, the report also warned that misuse of AI could increase income inequality, spread more complex and difficult-to-identify misinformation, and increase political repression.

However, the World Bank has warned that the cost of missing out on AI opportunities is very high.

"Today's developing economies missed out on the first industrial revolution and have been paying the price for the last two centuries," said World Bank Chief Economist Indramit Gill. "This time they are not in a position to lose that opportunity."