Will artificial intelligence widen inequality?
Will artificial intelligence widen inequality?
Publish Date: 2026-03-06 14:04:00
Source Domain: www.thedailystar.net
Artificial intelligence (AI) holds a lot of promise but also carries enormous risks. Aptly titled “The Great Divergence,” the UNDP Regional Human Development Report (RHDR) warns that, without decisive action, many developing countries in the region, owing to their weak capabilities, risk being left behind in the AI race. They will be unable to harness the upside of AI while mitigating the disruptions that have often accompanied frontier technologies. The risks are high as AI emerges amidst growing socioeconomic disparities among and within economies.
Like every major technological revolution—from steam power to electricity—should we expect a repeat of past trends from the emergence of AI, where inequality initially rises before benefits begin to diffuse? But we are entering the age of AI when inequality is already rising, exacerbated by the weakening relationship between GDP growth and job creation. For example, between 1995 and 2020, the top one percent captured 38 percent of global wealth, while the bottom 50 percent accounted for just two percent.
RHDR calls for embedding equity into policymaking. Equity cannot simply mean waiting for AI’s accrued benefits and redistributing them. It begins with AI that serves people and enhances human capabilities—a message that lies at the heart of human development. However, it cannot create equal opportunities for all if existing deficits in human, institutional, and financial capital are not recognised. Disparities in human development could be amplified by AI, a technology potentially as transformative as the steam engine and electricity. It is becoming a critical infrastructure that will determine the nature and pace of future development.
As the UNDP report shows, the Asia-Pacific will be a testing ground to see if AI-led development converges development outcomes or drives countries further apart. Countries in this region lie across a broad development spectrum: very large economies, small island nations,…
