SYLLABUS

GS-3: Science and Technology- developments and their applications and effects in everyday life.

Context: The World Bank Group launched its first comprehensive Digital Strategy in Seoul to expand affordable digital access, improve public services and create jobs in developing countries. 

More on the News 

• The strategy was unveiled at the World Bank Group’s inaugural Global AI and Digital Summit. 

• Hosted by the World Bank Group with South Korea’s MOFE and MSIT in Seoul, the summit explored how AI and digital technologies can create jobs, boost productivity and expand access to services.

• It comes as 1.2 billion young people are expected to reach working age in developing countries over the next 10–15 years, while their economies are projected to create only 420 million jobs.

• Alongside the strategy, the World Bank Group announced the AI Infrastructure and Readiness Initiative, initially focusing on Africa and Latin America. 

About the World Bank Group’s First Comprehensive Digital Strategy 

• The strategy integrates the World Bank Group’s public and private sector capabilities to help developing countries strengthen digital infrastructure, improve access to technology and harness artificial intelligence (AI) for development.  

• It focuses on four key priorities:  

• Expand Reliable Connectivity: Strengthen digital infrastructure, including international cables, national networks and last-mile connectivity, while encouraging competition and private investment in underserved areas.  
• Make Devices and Data Affordable: Reduce the cost of entry-level smartphones and broadband services through partnerships with manufacturers, mobile operators and financial institutions.  
• Strengthen Digital Services and Skills: Promote digital identification, payments and secure information-sharing systems, alongside digital literacy and employment-oriented training. 
• Build Readiness for Artificial Intelligence: Improve access to computing resources, usable local data and AI skills, with an emphasis on “small AI”—affordable, task-specific tools adapted to local needs, such as identifying crop diseases, assisting healthcare workers and managing business inventories.  

Key Facts and Initiatives 

• Digital divide: More than 2 billion people remained offline globally in 2025.

• Internet usage gap: Only 23% of people in low-income countries used the internet, compared with 94% in high-income countries.

• AI Infrastructure and Readiness Initiative: Promotes shared, pay-as-you-go access to graphics processing units (GPUs), which power AI applications, as an alternative to expensive standalone national data centres. 

• Alternative to costly infrastructure: Shared GPU access can reduce reliance on expensive standalone national data centres.

• Knowledge partners: Cassava Technologies and NVIDIA are among the initiative’s knowledge partners.

Significance of the First Comprehensive Digital Strategy

• Employment Generation: Digital technologies can help businesses reach customers, access finance and improve productivity, supporting job creation.

• Bridging the Digital Divide: Affordable internet, devices and data can improve digital access for underserved communities.

• Improving Public Services: Digital identification, payments and secure information-sharing can reduce delivery costs and improve access to public services.

• Boosting Sectoral Productivity: Digital technologies and AI can support infrastructure, energy, agribusiness, healthcare, tourism and value-added manufacturing.

• Mobilising Private Investment: Public financing, policy advice and guarantees can attract private investment into underserved digital markets.