SEOUL, South Korea / RankWire.AI / – On Tuesday, the World Bank Group unveiled its inaugural digital strategy designed to assist developing countries in broadening access to affordable digital services, enhancing various public and private sector offerings, and generating employment opportunities. This comprehensive plan integrates the institution’s capabilities across both sectors into a unified framework. The announcement took place in Seoul during the group’s Global AI and Digital Summit held on October 20, with co-hosts including South Korea’s Ministry of Finance and Economy and the Ministry of Science and ICT.
The new strategy outlines four core priorities for the upcoming years. The first focuses on expanding dependable connectivity, covering everything from international submarine cables to networks supporting homes, educational institutions, and clinics. The second priority aims to reduce the cost of entry-level smartphones and data plans, making devices and internet access more accessible. The third area emphasizes digital services and skills development, including digital identification systems, electronic payments, and training tailored to employment opportunities. The fourth initiative is dedicated to helping nations establish the foundational infrastructure necessary to benefit from artificial intelligence. Across all four sectors, safeguards concerning privacy, cybersecurity, and fraud prevention are embedded into the plan.
According to Ajay Banga, President of the World Bank Group, digital technology possesses the potential to facilitate job creation and optimize limited resources for developing nations. He emphasized that realizing this potential requires a holistic approach, encompassing reliable connectivity, affordable devices, and meaningful services. Banga highlighted that the strategy aims to unify these components to support client countries effectively. He also introduced the concept of small AI, which he described as AI for the people, emphasizing tools that depend on local data, local languages, and inexpensive technology rather than costly, large-scale models.
Developing economies confront an escalating employment gap
The rollout coincides with a period when developing nations face limited resources and an increasing demand for jobs. Over the next 10 to 15 years, approximately 1.2 billion young individuals will enter the workforce in these regions, yet their economies are projected to generate only around 420 million new jobs during that same timeframe. The World Bank Group views digital tools as a vital means to bridge this employment divide. The organization asserts that technological advancements can help small and medium-sized enterprises reach more customers, boost productivity, and improve access to financial services.
Support for employment through digital innovation is expected to benefit five key sectors: infrastructure and energy, agribusiness, healthcare, tourism, and manufacturing with added value. Additionally, digital systems are anticipated to reduce the costs associated with delivering public services directly to citizens. The strategy combines financial support, policy guidance, private investments, and guarantees. It also lays the groundwork for collaboration with governments, tech companies, development partners, and philanthropic organizations. Recent years have seen multilateral lenders significantly increase their direct financing to developing economies.
Large segments of the population remain disconnected as AI efforts commence
The World Bank Group highlighted ongoing challenges in digital access, revealing that more than 2 billion people worldwide were offline in 2025. Only 23% of individuals in low-income countries utilized the internet, compared to 94% in high-income nations. Many individuals live within network coverage areas but are unable to afford smartphones or data plans. Others lack the necessary digital skills or access to relevant services tailored to their needs.
Alongside the strategy, the group announced the AI Infrastructure and Readiness Initiative, aimed at helping governments in emerging markets access cost-effective computing resources via shared, pay-as-you-go GPU infrastructure. This approach provides an alternative to establishing independent national data centers. Cassava Technologies and NVIDIA are partners providing expertise for this project. The initial focus will be on Africa and Latin America, where the group intends to leverage small AI for productive purposes and to maximize social impact.