Artificial intelligence (AI) could give a strong push to the global economy and help India achieve its long-term development goals, according to Kristalina Georgieva, Managing Director of the International Monetary Fund. Speaking at the AI Impact Summit, she said new IMF research shows AI may raise global economic growth by about 0.8 percent.
Georgieva described this potential boost as significant. She explained that if the projection becomes reality, the world economy could grow faster than it did before the COVID-19 pandemic. However, she also issued a strong warning that AI could disrupt millions of jobs, especially in advanced economies.
Her comments highlight both the promise and the risks of the fast-growing technology.
According to the IMF chief, artificial intelligence has the power to transform productivity across many industries. She said the organisation’s research indicates AI could add nearly one percentage point — about 0.8 percent — to global growth.
Georgieva called faster growth “fantastic” because it can create more opportunities, higher incomes, and new kinds of jobs. She stressed that technology has historically helped economies expand, and AI could be the next big driver.
She also spoke positively about India’s economic future. India has set an ambitious goal of becoming a developed nation — often referred to as “Viksit Bharat” — by the year 2047. The country is also aiming to build a $30 trillion economy over the coming decades.
Georgieva said the scale of AI’s expected impact in India is encouraging. In her view, the technology can support India’s growth path and make the Viksit Bharat vision achievable if used wisely.
Experts note that India has certain advantages in the AI race. The country has a large digital user base, a strong IT services sector, and a growing startup ecosystem. If policies support innovation and skill development, AI could help India improve productivity in sectors such as manufacturing, agriculture, healthcare, and services.
At the same time, the IMF chief emphasised that countries must prepare carefully to capture these benefits.
ALSO READ: US military on standby for possible Iran strike, Trump yet to take final decision
Despite the optimistic outlook on growth, Georgieva warned that AI could have a serious impact on employment worldwide. She compared the coming disruption to a “tsunami,” underlining the scale of the potential change.
According to IMF estimates she cited, about 40 percent of jobs globally could be affected by AI. The impact could be even stronger in richer nations, where up to 60 percent of jobs may face some level of disruption.
Emerging markets like India may see a similar 40 percent exposure. However, the nature of the impact could differ. In some cases, AI may replace certain tasks; in others, it may simply change how people work.
Economists often explain that new technology usually creates jobs as well as eliminates some. The key challenge for governments is to help workers transition into new roles. Georgieva stressed the importance of investing in education, reskilling, and social protection systems.
She suggested that countries which prepare their workforce early will benefit the most from AI. Those that fail to adapt could face rising inequality and social tension.
Georgieva’s remarks reflect a growing global debate about artificial intelligence. Many policymakers and business leaders see AI as a powerful tool for boosting productivity and economic growth. At the same time, labour experts worry about job displacement and widening skill gaps.
For India, the message is mixed but largely positive. The country has the potential to use AI to accelerate growth and move closer to its developed-nation target. But success will depend on how well it manages the transition.
Analysts say India will need to focus on digital infrastructure, research investment, and large-scale skill training. Special attention may also be required for sectors where routine jobs are more vulnerable to automation.
The IMF chief’s comments come at a time when governments around the world are racing to frame AI policies. Many are trying to encourage innovation while also protecting workers.
In the coming years, the real impact of AI will depend not just on technology itself, but on how countries prepare their economies and people for change. If managed carefully, AI could become a powerful engine of growth. If not, it could deepen economic divides.
For now, the IMF’s message is clear: artificial intelligence offers a major opportunity — but only for those ready to adapt.
Copyright © © 2022 Copyright. All Rights Reserved with Arth Parkash