UNCTAD Emphasises AI's Economic Potential And The Need For Inclusive Access

Artificial intelligence (AI) is projected to reach a market value of $4.8 trillion by 2033, according to the United Nations Conference on Trade and Development (UNCTAD). This growth positions AI as a significant driver in digital transformation. However, the infrastructure and expertise required for AI remain concentrated in a few countries.

UNCTAD Secretary-General Rebeca Grynspan highlighted that less than one-third of developing nations have established AI strategies. "Less than one-third of developing countries have AI strategies. AI is shaping the world’s economic future, yet 118 countries - mostly in the Global South - are absent from major AI governance discussions," she stated. This underscores the need for broader participation in global AI governance.

Developing economies are encouraged to invest in AI infrastructure, data management, and skill development to fully leverage AI's potential. The UNCTAD Technology and Innovation Report 2025 stresses that while AI can drive progress, it is not inherently inclusive. Countries must act promptly by enhancing digital infrastructure, building capabilities, and strengthening governance to utilise AI for sustainable development.

The report also highlights that only 100 companies, primarily based in the US and China, account for 40% of global corporate research and development spending. Major tech firms like Apple, Nvidia, and Microsoft each boast market values nearing $3 trillion, comparable to Africa's entire GDP.

To implement effective AI policies, nations should focus on three key areas: infrastructure, data management, and skills development. Strategic positioning in these domains will determine a country's ability to adopt AI effectively. It will also foster local innovation and align AI advancements with socioeconomic goals.

AI's impact extends beyond job replacement; it has the potential to create new industries and empower workers. Thus, ensuring people remain central to AI development is crucial. UNCTAD calls for enhanced international cooperation to shift focus from technology-centric approaches to people-centric frameworks.

Global Cooperation for Inclusive Growth

The Secretary-General emphasised the necessity of placing individuals at the heart of AI advancements. She advocated for stronger international collaboration to develop a global framework that prioritises human needs alongside technological progress.

In conclusion, as AI continues its rapid growth trajectory, it is vital for countries worldwide to invest strategically in infrastructure, data capabilities, and skills training. This approach will enable them to harness the full potential of artificial intelligence while ensuring inclusive growth and sustainable development across all regions.

With inputs from WAM