The World Bank has called on developing economies to prioritize the adoption of existing artificial intelligence (AI) technologies rather than investing heavily in building frontier AI models, arguing that faster AI adoption can significantly boost productivity, economic growth, and public service delivery.
In its latest assessment, the Bank noted that while advanced economies are leading the development of large AI models, many developing countries stand to gain more immediate economic benefits by integrating proven AI solutions into key sectors such as agriculture, healthcare, education, manufacturing, finance, and public administration.
According to the World Bank, adopting AI-powered tools can help governments improve service delivery, enhance decision-making through data-driven insights, reduce operational costs, and expand access to essential services. Businesses can also leverage AI to increase efficiency, automate routine processes, improve customer experiences, and strengthen competitiveness in the global digital economy.
The report highlights that realizing AI’s full potential will require investments in digital infrastructure, reliable internet connectivity, cloud computing, electricity, digital public infrastructure, and workforce development. The Bank also emphasized the importance of strengthening digital skills, expanding access to quality education, and implementing policies that encourage responsible AI innovation while safeguarding privacy, cybersecurity, and data governance.
Furthermore, the World Bank urged governments to establish regulatory frameworks that promote trust, transparency, and ethical AI deployment, ensuring that technological advancements contribute to inclusive and sustainable development rather than widening existing inequalities.
As AI adoption accelerates globally, the World Bank believes that developing economies have a unique opportunity to leapfrog traditional development challenges by embracing practical AI applications that deliver measurable economic and social impact, positioning themselves for long-term competitiveness in the digital age.
