Could Unmanaged AI Widen Inequality Between Nations?
Synopsis
Key Takeaways
- AI may exacerbate inequality between nations.
- Strong policy actions are necessary to prevent widening gaps.
- The Asia-Pacific region is central to the AI transition.
- Potential economic growth from AI could reach $1 trillion in ASEAN economies.
- Job displacement is a significant risk without ethical governance.
The United Nations, on December 3 (NationPress), warns that unmanaged artificial intelligence (AI) could exacerbate inequality among nations, deepening disparities in economic performance, individual capabilities, and governance structures. This warning comes from a report by the United Nations Development Programme (UNDP).
Entitled "The Next Great Divergence: How AI Might Amplify Inequality Between Nations," the report emphasizes that while AI presents significant new opportunities for development, countries embark on this journey from disparately different starting points, impacting their ability to harness benefits and mitigate risks.
"Without decisive policy interventions, these disparities may widen, undermining the longstanding trend of decreasing developmental inequalities," stated Stephane Dujarric, spokesperson for the UN Secretary-General, during a daily briefing.
The report highlights that the Asia and Pacific region, which is home to over 55% of the global population, is at the forefront of the AI transition, accounting for more than half of worldwide AI users and rapidly enhancing its innovation landscape.
In this region, AI could boost annual GDP growth by approximately 2 percentage points and increase productivity by up to 5% in sectors like health and finance. According to the report, ASEAN economies might see an almost $1 trillion rise in GDP over the next decade.
However, millions of jobs, particularly those held by women and youth, are at high risk of automation if fundamental principles of ethical and inclusive AI governance are not prioritized, the report cautioned.
For much of the last fifty years, lower-income countries have steadily reduced the gap with higher-income nations through advancements in technology, trade, and development. This 'era of convergence' resulted in significant progress in health, education, and income, Xinhua news agency reported.
Nonetheless, the report warns that absent intentional and inclusive policy strategies, AI could lead to the deterioration of these convergence achievements.
"Digital readiness is highly uneven across the region. Countries like Singapore, South Korea, and China are making substantial investments in AI infrastructure and skills, while many others are still striving to enhance basic digital access and literacy. Developing these digital capabilities is essential for ensuring that all nations can leverage the opportunities presented by AI," it stated.
The report also noted that limitations in infrastructure, skills, computing power, and governance capacity hinder the potential advantages of AI while heightening risks such as job displacement, data exclusion, and indirect effects like increasing global energy and water demands from AI-driven systems.
Currently, only a small number of countries have implemented comprehensive AI regulations, and by 2027, over 40% of global AI-related data breaches could arise from the misuse of generative AI, emphasizing the necessity for robust governance frameworks. This is a crucial area for many nations in the region and beyond to address.