IMF warns of AI’s impact on growth and inequality, stresses need for reliable data

IMF Managing Director Kristalina Georgieva emphasizes the importance of reliable data to fully harness AI’s potential for economic growth while mitigating its risks, such as job disruption and increased inequality.

The International Monetary Fund (IMF) has underscored the crucial role of reliable and actionable data in unlocking the economic potential of Artificial Intelligence (AI).

During the IMF’s 12th Statistical Forum in Washington, D.C., Managing Director Kristalina Georgieva highlighted the immense benefits AI could bring, including productivity gains of up to 34% in call centers, particularly for new and lower-skilled workers.

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“AI has huge potential to boost growth and efficiency,” Georgieva stated, emphasizing that while AI could drive significant economic growth, it also comes with risks.

“At a time when many societies are already polarized, AI has the potential to destabilize them further,” she added, pointing to concerns over job displacement and exacerbating inequalities.

The forum, themed “Measuring the Implications of Artificial Intelligence on the Economy,” gathers policymakers, researchers, and private sector representatives to discuss AI’s profound impact on economies.

Georgieva noted that the success of AI in fostering inclusive growth will depend on coordinated actions between governments, the private sector, and civil society.

To guide such efforts, she stressed the need for reliable, accurate, and actionable data. “To make AI a force for good that drives inclusive economic growth, we need coordinated actions by governments, the private sector, and civil society,” she said. “And to inform those actions, we need reliable, tightly accurate, and actionable data.”

Earlier this year, Georgieva referred to AI as a “double-edged sword,” recognizing its potential to boost global productivity and income while simultaneously threatening jobs and deepening social divides.

She warned that the rapid advancements in AI could have unpredictable effects on economies, making it crucial to implement policies that balance innovation with social welfare.

“The rapid advance of artificial intelligence has captivated the world, causing both excitement and alarm and raising important questions about its potential impact on the global economy,” Georgieva said. “The net effect is difficult to foresee, but we will need policies to safely leverage AI for the benefit of humanity.”

As AI continues to evolve, the IMF is urging global leaders to focus on creating robust statistical frameworks to measure AI’s effects, ensuring that its economic promise can be realized without compromising social stability.