Five ways Bangladesh and other south Asian nations can benefit from AI

The World Bank has recently released its report on jobs, artificial intelligence (AI), and trade, highlighting how much South Asia's workforce is exposed to changes brought about by AI.

The report also outlines how the region can turn the disruption caused by AI into opportunities.

It mentions five ways Bangladesh, along with other South Asian nations, can benefit from AI.

The report notes that South Asia is only moderately exposed, thanks to the predominance of low-skill, agricultural, and manual jobs that are least likely to be replaced.Yet, demand for AI skills is rising fast, with jobs requiring them commanding a wage premium of nearly 30 percent compared to other white-collar roles.

These are the five ways the World Bank report highlighted:

Building stronger digital infrastructure

AI applications require reliable electricity, high-speed internet, and secure data systems.

Nearly 100 percent of South Asians now have access to electricity, but only about 60 percent use the internet — far below other emerging markets.

Rural access is especially weak at just 36 percent, creating a 32-point gap with urban areas, the widest among developing regions.

Closing this divide through competition, private investment, and updated power grids will be critical.

Investing in human capital

Only 75 percent of South Asians are literate, compared with 85 percent in other emerging markets.

While the region produces many highly educated researchers, most emigrate abroad.

Expanding digital literacy, retraining, and AI-related skills programmes could help workers adapt.

Generative AI itself could provide customised tutoring at scale, helping prepare the next generation for jobs that complement AI.

Managing labour market disruption

About 15 percent of South Asian workers are in jobs with strong complementarities with AI, offering scope for major productivity gains.

Only 7 percent of jobs are highly exposed without such complementarities — well below the 15 percent exposure in other emerging markets.

Still, moderately educated young workers remain vulnerable.

Generative AI has already reduced monthly job listings by 20 percent in the most exposed white-collar occupations, with losses concentrated in business services and IT.

Creating an enabling business environment

AI adoption is concentrated in large firms and global hubs, but South Asia's companies are mostly small and slow-growing.

Policies that expand access to credit, encourage competition, and strengthen data-security frameworks could help firms scale up.

Unlocking private capital and implementing regulatory reforms would also attract diaspora talent and spur innovation.

Harnessing government adoption of AI

Governments can lead by example.

AI tools can streamline bureaucratic processes, predict service demand, and automate routine tasks — cutting delays and reducing corruption.

Chatbots could improve communication between citizens and agencies, making public services more transparent and efficient.