Picture Credit : @KGeorgieva/X
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IMF Managing Director Kristalina Georgieva has said artificial intelligence could lift global growth by 0.8 per cent and help India achieve the Viksit Bharat goal, but poses significant risk of displacement of jobs and financial stability.
While being optimistic about the technology, Georgieva cautioned against “sugarcoating” the impact of AI and called for striking a balance between building and managing AI as a ‘force for good, or a force for evil’.
“AI can lift up global growth by almost a percentage point. We say 0.8 per cent. “It would mean that the world would grow faster than it did before the COVID pandemic.
“And that is fantastic for creating more opportunities, more jobs. This is the magnitude that we see for India, and it would mean that India’s Viksit Bharat is achievable,” Georgieva said at the AI Impact Summit, 2026 as reported by PTI .
She said AI creates potential for countries that go fast on digital infrastructure, skills, and adoption of AI, and countries must embrace the opportunities, while being mindful of the risks.
“I am very optimistic about AI. I’m also not naive, it brings significant risks,” she said while listing out three major risks from AI.
Key Risks of AI
First, it brings the risk of making countries and the world less fair as some countries will have the technology and others don’t, and the other is the risk of financial stability, wherein AI could get loose and create havoc on financial markets.
Also, it brings the risk of displacement of jobs with no good thinking about how to help people find their place in the new AI economy. “We calculated this risk as very high. We actually see the impact of AI on the labour market like a tsunami hitting it.
“Globally, 40 per cent of jobs will be affected by AI, some enhanced, others eliminated.”In emerging markets 40 per cent, but in advance economies, 60 per cent.
“And that is happening over a relatively short period of time,” Georgieva said.
