World Bank pushes “small AI” models for developing economies

The World Bank is calling on developing nations to launch “small AI” models that can operate on a mobile phone with low connectivity, arguing they could accelerate economic development (https://www.theguardian.com/technology/2026/oct/18/world-bank-artificial-intelligence-developing-economies). Paschal Donohoe, the bank’s chief knowledge officer and former Irish finance minister, cited Indian farmers in the World Bank’s AgriConnect scheme who need soil-analysis information in their own language. He said small AI “would be available on your phone” and could fill the gap left by a shortage of scientists and agricultural experts.

Donohoe suggested that private-sector partners, governments and the World Bank could co-create such tools. He noted the bank has mobilised $120 bn (£90 bn) of private capital in the past year through guarantees and other instruments, even as aid budgets shrink in the US and UK.

At the World Bank-IMF meetings in Bangkok, IMF Managing Director Kristalina Georgieva warned that up to 40 % of jobs worldwide may be augmented or eliminated by AI, with young workers most at risk. She stressed that reliable electricity, digital infrastructure and regulatory safeguards are prerequisites for democratic AI adoption.