IMF Unveils Global AI Preparedness Index: India Ranks 72nd

The IMF has released the Artificial Intelligence Preparedness Index (AIPI) Dashboard, which assesses 174 economies for AI readiness. The index categorizes countries as Advanced Economies (AE), Emerging Markets (EM), or Low-Income Countries (LIC).

AI Preparedness Index Overview

International Monetary Fund (IMF) releases Artificial Intelligence Preparedness Index (AIPI) Dashboard
Tracks 174 countries economies for AI readiness
Categorizes countries as Advanced Economies (AE), Emerging Markets (EM), or Low-Income Countries (LIC)
Evaluates digital infrastructure, human capital, labor policies, innovation, integration, and regulation
Singapore (0.80), Denmark (0.78), and United States (0.77) top the list
India ranks 72nd with a score of 0.49, categorized as an Emerging Market
Neighboring countries: China (31^st, 0.63), Sri Lanka (92^nd, 0.43), Bangladesh (113^th, 0.38), Pakistan (122^nd, 0.37)

Here is the list of AI Preparedness Index top 10 countries –

Rank	Countries	AI Preparedness Index
1	Singapore	0.800
2	Denmark	0.788
3	United States	0.771
4	Netherlands	0.766
5	Estonia	0.754
6	Finland	0.754
7	Switzerland	0.754
8	New Zealand	0.753
9	Germany	0.753
10	Sweden	0.747
72	India	0.492

AI Impact on Global Employment

IMF research shows AI could reshape global economy
Potential job displacement: 33% in advanced economies, 24% in emerging markets, 18% in low-income countries
Overall, AI could affect 40% of jobs worldwide
Emerging markets and low-income countries may face fewer immediate disruptions
AI expected to enhance productivity and create new industries and jobs
Concerns about worsening inequality among nations due to varying AI readiness

Policy Implications and Future Outlook

AIPI Dashboard aims to inform policymakers, researchers, and public
Highlights need for strategic AI adoption and risk management
Wealthier economies generally better equipped for AI adoption
Emerging markets and low-income countries may lack infrastructure and skilled workforce for AI benefits
IMF emphasizes importance of leveraging AI's potential while managing risks
Dashboard provides data for informed decision-making on AI progress and its equitable distribution

The IMF's Artificial Intelligence Preparedness Index provides a comprehensive global view of AI readiness, highlighting disparities between advanced and developing economies. With India ranking 72nd, the index underscores the need for strategic planning and investment in AI capabilities. While AI presents significant challenges to employment across all economic categories, it also offers opportunities for increased productivity and new job creation. The AIPI Dashboard serves as a crucial tool for policymakers and researchers to navigate the complex landscape of AI adoption, aiming to ensure that the benefits of AI progress are distributed equitably across nations.

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