World Bank: Developing countries will be better off due to AI
A new World Bank report is positive about the potential of AI for developing nations, while highlighting possible challenges.
The World Bank's World Development Report 2026 asserts that developing economies stand to benefit more than they fear from artificial intelligence (AI). According to the report, titled "The Promise of Artificial Intelligence," AI technologies offer significant advantages to low- and middle-income countries compared to richer nations.
Only a small fraction of jobs in developing economies are susceptible to AI automation, whereas over a third of jobs in high-income economies are at risk. However, the report highlights that AI has the potential to enhance the capabilities of numerous small businesses, which employ the majority of people in developing countries.
Moreover, AI can speed up the transformation process by providing expert knowledge to millions instead of a select few. Gill, the senior vice president and chief economist at the World Bank Group, emphasizes that AI can bring major opportunities for developing countries to catch up with the living standards of wealthier nations.
Even in a worst-case scenario, AI is expected to boost growth in developing economies, as the potential growth rates would rise above the dismal average of the first half of the 2020s. Developing countries must focus on investing in reliable electricity, internet access, and strong education systems, along with basic skills such as literacy, numeracy, and digital skills, to fully harness the benefits of AI.
Written by urgent.news from Africa Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
