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Policy & Regulation3 min read

World Bank says ‘small AI’ could transform developing countries

World Bank chief knowledge officer Paschal Donohoe, a former Irish finance minister, is urging developing nations to create “small AI” models that can run on a mobile phone with low connectivity and in local languages. He says such models, trained on narrow datasets for specific purposes, could accelerate economic development that would otherwise take centuries. Donohoe cited Indian farmers in…

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Key points

  • World Bank chief knowledge officer Paschal Donohoe urges creation of “small AI” models that run on low‑connectivity phones.
  • Indian farmers in the Bank’s AgriConnect scheme need soil analysis in local languages, a use case Donohoe cites.
  • The Bank says it mobilised $120bn (£90bn) of private capital last year to support such initiatives.

At a panel on AI’s impact, IMF managing director Kristalina Georgieva stressed that electricity, digital infrastructure and safeguards against bad actors are preconditions for democratic AI adoption. The Bank’s annual development report notes that almost a third of rural schools in sub‑Saharan Africa lack electricity and more than two‑thirds lack reliable internet. Georgieva warned that about 40% of jobs worldwide could be augmented or eliminated by AI, especially affecting young workers. Under President Ajay Banga, the World Bank says it mobilised $120bn (£90bn) of private capital last year through guarantees and other instruments to support such initiatives.

Full story from The Guardian AI · by Heather Stewart in BangkokOpen source ↗

World Bank says ‘small AI’ could transform developing countries

The Guardian AI · 18 October 2026

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This text was published by The Guardian AI and written by Heather Stewart in Bangkok. It is reproduced here with attribution so you can read it in full; the rights remain with the publisher. Read it at the source ↗

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