SEOUL, South Korea / RankWire.AI / – On Tuesday, the World Bank Group introduced its inaugural digital strategy with the goal of expanding affordable digital access in emerging economies, enhancing service delivery, and fostering job creation. The initiative merges the public and private sector capabilities of the lender into a unified framework. This announcement took place in Seoul during the group’s Global AI and Digital Summit on October 20, which was jointly hosted by South Korea’s Ministry of Finance and Economy along with the Ministry of Science and ICT.
The strategy highlights four key areas for development in the upcoming years. The first emphasizes the need for reliable connectivity, ranging from international submarine cables to local networks supporting homes, educational institutions, and clinics. The second focuses on making entry-level smartphones and data plans more affordable. The third area covers digital services and skills, including digital identification, electronic payments, and training linked to employment. The fourth aims to equip countries with the foundational infrastructure to leverage artificial intelligence. Throughout all four sectors, safeguards concerning privacy, cybersecurity, and fraud prevention are integrated.
World Bank Group President Ajay Banga expressed that digital technology holds the potential to generate jobs and optimize limited resources for nations. He stated that unlocking this potential demands an all-encompassing strategy, from establishing dependable connectivity and affordable devices to delivering practical services. Banga emphasized that the new strategy consolidates these components, providing a comprehensive pathway for client countries. He also introduced the concept of small AI, referring to AI designed for local communities. These tools depend on indigenous data, native languages, and cost-effective technology, avoiding reliance on expensive large models.
Developing Countries Confront Growing Employment Shortfalls
The rollout coincides with a period of limited resources and an increasing employment demand in developing nations. Over the next 10 to 15 years, 1.2 billion young people are expected to enter the workforce, yet their economies are projected to generate only about 420 million new jobs during this timeframe. The World Bank Group views digital innovations as a strategy to bridge this employment gap, noting that technology can assist businesses in reaching customers, increasing productivity, and securing financing.
The bank anticipates that digital technologies will support employment across its five main sectors: infrastructure and energy, agribusiness, health care, tourism, and value-added manufacturing. Additionally, digital systems can significantly reduce the costs associated with delivering public services. The strategy integrates financing, policy advice, private sector investments, and guarantees, creating a foundation for collaboration with governments, tech firms, development agencies, and philanthropic organizations. Recently, multilateral lenders have increased their direct financing to emerging economies.
AI Access Barriers Persist as New Initiative Launches
The World Bank Group identified significant obstacles to digital inclusion, revealing that more than 2 billion people worldwide remained offline in 2025. Internet usage in low-income countries stands at just 23%, compared to 94% in high-income nations. Many individuals reside within network coverage zones but cannot afford smartphones or data plans. Others lack digital literacy or have limited access to relevant services.
Alongside the strategy, the group introduced the AI Infrastructure and Readiness Initiative. This program aims to assist governments in emerging markets in accessing affordable computing power through shared, pay-per-use GPU infrastructure, providing an alternative to building independent national data centers. Knowledge partners such as Cassava Technologies and NVIDIA support the initiative. The initial focus is on Africa and Latin America, where the group intends to promote small AI for productive applications.