The World Bank and the International Monetary Fund (IMF) have warned that the rapid growth of artificial intelligence (AI) could worsen unemployment in Nigeria and other developing countries unless governments and businesses take urgent steps to prepare workers and use the technology to create new job opportunities.
The IMF Managing Director, Kristalina Georgieva, issued the warning during the Small AI: More and Better Jobs event at the IMF-World Bank Annual Meetings in Bangkok, Thailand.
Georgieva described artificial intelligence as a “slow-moving tsunami,” warning that the technology could significantly transform labour markets across the world.
According to her, about 40 per cent of jobs globally could be affected by AI, with some positions enhanced, others downgraded, while certain jobs could disappear entirely.
She stressed that the effects would vary across countries, industries and occupations, making it necessary for governments to understand the potential consequences and equip workers with the skills required to adapt to the changing employment landscape.
The IMF chief warned that countries that fail to prepare their workforce for the growing use of AI could face increased pressure on their labour markets.
She called for measures to help workers acquire relevant digital skills and prepare for new opportunities emerging from technological advancement.
Also speaking at the event, World Bank Group President Ajay Banga said creating jobs must remain central to the institution’s development agenda.
“The bank’s entire focus has to be on jobs,” Banga said, emphasising that artificial intelligence should be used to improve productivity and support employment rather than simply replace human workers.
He explained that affordable and practical AI solutions could help improve the performance of schools, healthcare systems and agricultural activities, particularly for small-scale farmers and communities with limited resources.
Banga highlighted how simple AI applications could help farmers identify crop diseases and obtain advice on appropriate treatment using basic mobile phones.
He said such technology could also connect farmers with essential resources, including improved seeds, fertilisers, credit facilities, insurance services and information about markets.
According to him, these applications could help farmers increase productivity, improve their incomes and expand their businesses, thereby creating opportunities for employment across the agricultural value chain.
In the healthcare sector, Banga said AI-powered tools could assist frontline health workers in assessing patients and identifying cases requiring specialist attention.
Such applications could improve access to medical services, particularly in communities where healthcare professionals and facilities are limited.
The approach, described as “Small AI”, focuses on developing affordable and practical artificial intelligence solutions suited to local languages, infrastructure, needs and budgets.
Rather than depending exclusively on expensive and sophisticated systems, the approach encourages the use of accessible technology to address everyday challenges and support economic development.
The World Bank’s October 2026 Africa Economic Update identifies Nigeria, Kenya and South Africa as some of the continent’s leading centres of artificial intelligence activity.
However, the report notes that AI adoption across Africa remains at an early stage, stressing that the continent’s immediate opportunity lies in adapting affordable solutions to local economic and social needs.
It identifies agriculture, education, healthcare, financial services, logistics and public administration as sectors where AI could improve productivity and support economic growth.
Despite these opportunities, the report warns that several challenges could limit the widespread adoption of the technology across African countries.
They include unreliable electricity supply, inadequate internet connectivity, limited digital skills and poor-quality data.
For Nigeria, overcoming these challenges will be essential to ensuring that artificial intelligence contributes to job creation and economic development rather than worsening existing employment difficulties.
The warning comes as countries worldwide grapple with the potential impact of AI on traditional occupations and the future of work.
Experts and policymakers are increasingly being urged to develop strategies that will enable workers to adapt to technological changes while ensuring that the benefits of innovation translate into better livelihoods.
The World Bank and IMF maintain that preparing workers, improving digital infrastructure and promoting practical AI applications will be critical to helping developing economies such as Nigeria harness the technology for sustainable growth and employment generation.
READ ALSO:
- CDS Urges More Investment in Nigeria’s Indigenous Space Technology
- World Bank, IMF Warn AI Could Worsen Jobs Crisis in Nigeria
- LCCI Proposes 20% Petrol Price Cut Within Six Months
- US Lists Nigeria Among Countries Linked to Child Soldiers, Cites Baby Factories and Official Complicity
- Former DIG Frank Mba Opens Law Firm After 34 Years in Police Service
