While developing economies face lower job displacement risks from artificial intelligence compared with developed nations, gaps in infrastructure development, institutional capacity and relevant skill sets largely restrict their access to the benefits that AI has to offer, said a recent World Bank report.
According to the World Development Report 2026, which was released on Tuesday, only 4.5 percent of existing jobs in low- and middle-income countries are at risk of automation by generative AI, compared with 14.2 percent in high-income countries.
At the same time, AI could meaningfully boost productivity in 16.2 percent of jobs in developing nations, which is not far below the estimated 18.7 percent for high-income countries.
While the labor market in developing economies is less concentrated in occupations that are most exposed to generative AI, the figures suggest that workers and businesses could still use the technology to improve performance.
The World Bank described the report as "the first comprehensive assessment" of the implications of AI for developing economies, offering a perspective that has often been overlooked in academic and policy discussions focused largely on developed nations.
