AI Job Risk: Wealthy Nations More Vulnerable Than Developing

A new report from the World Bank, titled “World Growth Report 2026: Decoding AI,” indicates that artificial intelligence presents a significantly lower threat to employment in developing economies than in wealthier nations.

The study highlights a notable disparity in job risk and productivity gains across different economic tiers:

• Generative AI is three times more likely to endanger jobs in high-income countries, with 14.2% of roles at risk.
• Conversely, in low- and middle-income countries, only 4.5% of jobs face a similar risk from AI.
• Both developing (16.2%) and high-income (18.7%) nations are projected to see significant productivity gains from AI, showing comparable percentages.

Indermit Gill, the World Bank Group’s Chief Economist, described AI as a vital “lifeline” for emerging economies. These nations are currently experiencing their slowest average economic growth in three decades.

Accelerating Growth with Localised AI

Gill emphasized that emerging economies could achieve a century’s worth of growth within a single decade by adopting modest and inexpensive localized AI technologies. Such tools are capable of enhancing critical public services for millions of people.

These AI applications offer practical improvements across several sectors:

• Medical professionals can utilize AI for improved diagnosis.
• Educators can leverage AI to streamline lesson planning.
• Farmers can make more informed decisions regarding crop management.

Navigating Risks and Building Infrastructure

The report advises governments in developing countries to proactively enhance digital skills among their populations. Furthermore, it recommends increasing access to essential digital infrastructure, including smartphones, computers, internet connectivity, and reliable electricity.

However, the World Bank report also cautions against several potential risks associated with widespread AI adoption:

• Increased income inequality could exacerbate existing social divides.
• The proliferation of misinformation poses challenges to public discourse.
• AI could be misused to facilitate political repression.

Gill firmly stated that developing economies cannot afford to miss this current industrial revolution, drawing a parallel to the first one which set them back by two centuries. Looking ahead, the International Monetary Fund projects that AI could boost Sub-Saharan Africa’s GDP by nearly 4% over the next decade under optimal conditions.