By Michael Omotosho |
Artificial intelligence could help developing countries achieve in a decade what might otherwise take a century. Still, only if governments move quickly to build the basic infrastructure needed to use the technology, the World Bank has said.
The World Bank Group, in its World Development Report 2026: The Promise of Artificial Intelligence, said AI could provide a major boost to economies facing weak growth, particularly by improving productivity and expanding access to essential services.
The report found that 4.5% of jobs in low- and middle-income countries are at risk of automation by generative AI, compared with 14.2% in high-income countries. However, about 16.2% of jobs in developing economies could benefit from increased productivity through AI, almost close to the 18.7% expected in high-income countries.
AI Could Boost Productivity
According to the report, the biggest opportunity for developing countries is not replacing workers with machines but using AI to help people work better and solve problems faster.
AI is already being used in some developing economies to analyse information, improve forecasts, support businesses and expand public services.
The technology could help doctors with diagnosis, assist farmers with crop decisions and enable businesses to improve productivity. Governments could also use AI to strengthen tax collection, healthcare, education, social programmes and disaster response.
“AI has thrown developing economies a lifeline, and they should seize it,” said Indermit Gill, Senior Vice President and Chief Economist of the World Bank Group.
“They do not need large models or big data centres to reap its benefits. By adapting small, low-cost AI tools to local conditions, they can bring better medical care, education, judicial services and agricultural extension within reach of millions,” Gill said.
He added that developing countries must act quickly because AI is spreading faster and is more tailored to specific needs than earlier technologies such as electricity and the internet.
Infrastructure Remains a Major Challenge
Despite the opportunity, the World Bank warned that many developing countries lack the basic infrastructure required to take advantage of AI.
These include reliable electricity, internet access, computing power, local data, digital skills and strong institutions.
The report noted that nearly one-third of rural schools in Sub-Saharan Africa still lack reliable electricity, while more than two-thirds do not have dependable internet access.
The World Bank said closing these gaps must remain a priority. It pointed to Mission 300, an initiative aimed at providing electricity access to 300 million people across Sub-Saharan Africa by 2030.
Countries Must Adopt, Adapt and Advance
The report recommends a three-step approach for developing economies: adopt available AI tools, adapt them to local needs and, over time, advance towards developing frontier AI capabilities.
The World Bank said this approach would allow countries to benefit from existing technologies without spending heavily on attempts to immediately compete with the world’s most advanced AI developers.
“The window to get this right is narrow,” said Gaurav Nayyar, Director of the World Development Report 2026.
Nayyar said AI presents a major opportunity to address problems that have remained unsolved for generations, but countries must first build the foundations needed to make the technology useful.
Local Data and Skills Needed
The report also called for greater access to local data, including data in local languages, so AI systems can better reflect the needs of different communities and economies.
Governments, it said, should also create conditions that allow businesses to attract investment, test new ideas and expand successful AI projects.
The World Bank stressed that governments need better ways to measure whether AI projects are actually producing results, making skills development, evidence and stronger procurement and evaluation systems increasingly important.
Trust and Responsible Use
Beyond infrastructure and skills, the report warned that public trust will be critical to the successful use of AI.
Governments are encouraged to promote responsible AI use through voluntary industry standards and international cooperation. Where voluntary measures are not enough, existing laws should be used to address harmful practices.
The World Bank warned that AI could deepen inequality, increase market concentration, spread bias, weaken data privacy and reduce trust in public institutions if it is not properly managed.
For developing countries, the report said the choice is not simply whether to use AI, but how quickly and effectively they can build the foundations that will allow the technology to work for their people.
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