New York: A new report from the International Monetary Fund (IMF) predicts that Artificial Intelligence (AI) will affect 60% of jobs in advanced economies and 40% globally. IMF Managing Director Kristalina Georgieva discussed the report, emphasizing the dual nature of AI, offering both risks and opportunities.
Georgieva warned that AI poses a threat to job security worldwide but also presents a “tremendous opportunity” to enhance productivity and drive global growth. She stated, “Your job may disappear altogether — not good — or artificial intelligence may enhance your job, so you actually will be more productive and your income level may go up.”
The report, as reported by AFP, suggests that only half of the jobs impacted by AI will face negative consequences, with the rest potentially benefiting from increased productivity. However, these effects are expected to be uneven, with emerging markets and developing economies facing a smaller initial impact but also being less likely to benefit from productivity enhancements.
Georgieva stressed the urgency of aiding low-income countries in seizing the opportunities presented by AI. She acknowledged that while AI is somewhat intimidating, it is also an enormous opportunity for everyone.
Looking ahead, the IMF is set to release updated economic forecasts later this month. Georgieva indicated that the global economy is generally on track to meet previous forecasts and is “poised for a soft landing.” However, she cautioned that 2024 could be a challenging year for fiscal policy globally as countries grapple with debt burdens from the Covid-19 pandemic and work to rebuild depleted buffers.
With numerous elections scheduled this year, there is added pressure on governments to either increase spending or reduce taxes to secure popular support. Georgieva expressed concern that governments worldwide might overspend this year, potentially undermining progress in the fight against high inflation.
As Georgieva’s five-year term at the IMF’s helm concludes this year, she declined to comment on whether she intends to seek a second term leading the international financial institution, stating, “I have a job to do right now, and my concentration is on doing that job.”
