The debate over artificial intelligence is often dominated by headlines about powerful chatbots and billion-dollar investments. But the World Bank's latest warning suggests the more important conversation is not who builds the biggest AI model—it's whether developing countries can use existing AI tools quickly enough to avoid falling even further behind.

The World Bank has urged developing countries to embrace artificial intelligence, warning that delaying adoption could widen economic and technological gaps.

Speaking during the launch of the World Development Report 2026, World Bank Chief Economist Indermit Gill said developing economies do not need massive AI models or expensive data centres to benefit from the technology. Instead, countries should adapt affordable AI tools to local needs in sectors such as healthcare, education, agriculture and justice.

The report comes as many developing nations continue to experience sluggish economic growth. According to the World Bank, lower-income economies are facing their weakest average growth in three decades after years of global shocks, including conflicts, inflation and economic instability.

The institution also highlighted examples of AI improving diabetes screening in Bangladesh and helping Indian farmers reduce costs through better weather forecasting.

The World Bank's message reflects a shift in how global institutions are discussing AI. Instead of portraying artificial intelligence as a luxury reserved for wealthy nations, the report presents it as essential infrastructure for future economic competitiveness.

For countries like Nigeria, the recommendation is particularly relevant. AI has the potential to improve public services, increase agricultural productivity, strengthen healthcare delivery and support education, even where resources remain limited. However, technology alone cannot solve structural problems. Reliable electricity, affordable internet access, digital literacy and quality local data remain significant barriers.

The report also acknowledges that simply importing AI systems developed elsewhere may produce poor results if they fail to account for local languages, cultures and public service needs. That emphasis on localisation may prove just as important as the technology itself.

The World Bank argues that AI offers developing countries a rare opportunity to accelerate growth without first investing billions in advanced computing infrastructure. Its recommendation is to adopt practical, affordable AI solutions while strengthening digital infrastructure over time.

Critics, however, caution against moving too quickly without proper safeguards. Privacy advocates and technology experts have warned that AI systems can reinforce bias, misuse personal data and deepen inequality if governments fail to establish clear regulations and public oversight.

Others question whether many low-income countries can realistically benefit from AI while basic infrastructure challenges—including unreliable electricity, limited broadband coverage and underfunded public institutions—remain unresolved.

These perspectives are not necessarily contradictory. They suggest that successful AI adoption depends not only on the technology itself but also on the institutions responsible for deploying it.

For Nigeria and many African countries, the report highlights both an opportunity and a challenge.

If governments invest strategically, AI could help improve healthcare access, modernise agriculture, support education and streamline public administration. Businesses could also benefit from greater efficiency and productivity.

At the same time, failing to develop strong regulatory frameworks could expose citizens to data privacy risks, algorithmic bias and labour market disruptions as automation gradually replaces certain middle-income jobs.

The report ultimately argues that AI should not be viewed as a replacement for development policy but as a tool that can strengthen it when deployed responsibly.

The World Bank's warning is less about whether artificial intelligence will transform the global economy—it almost certainly will. The more pressing question is whether developing countries can build the institutions, infrastructure and public trust needed to benefit from that transformation rather than become increasingly dependent on technologies designed elsewhere.