Artificial intelligence (AI) has the potential to transform emerging economies. Countries must invest in complete AI ecosystems rather than relying solely on imported AI models, according to a new World Bank Group report.
The report describes AI as a general-purpose technology capable of reshaping healthcare, finance, education, and agricultural industries by improving productivity, expanding access to services, and driving innovation. However, it cautions that the benefits of AI will not be realised through technology adoption alone.
Emerging markets continue to face major barriers like limited digital infrastructure, a lack of skilled talent, fragmented markets, and constrained access to computing resources. Addressing these structural challenges will be essential to unlocking AI’s long-term economic potential.
The World Bank emphasises that governments should prioritise investments in digital infrastructure, AI-ready workforces, research capabilities, and supportive regulatory frameworks. Building local innovation ecosystems, rather than depending on foreign AI technologies, will enable countries to develop solutions tailored to domestic needs.
The report also highlights the importance of stronger public-private collaboration to accelerate AI adoption while ensuring that businesses, startups, and research institutions can access the resources needed to innovate.
As AI adoption is rapidly globalizing, the World Bank argues that emerging economies have an opportunity to strengthen competitiveness by creating a sustainable AI ecosystem, supporting economic growth, job creation, and technological resilience.
