IDB Research: AI Could Expand Latin America GDP 5.1% if Workers Adapt

Broad adoption of artificial intelligence could make Latin America and the Caribbean’s economy 5.1% larger over the next decade, according to forthcoming research from the Inter-American Development Bank, while limited adoption could produce only 0.3% growth. The gains depend heavily on whether workers move into expanding industries: wages could rise 2.3% to 5.3% with successful transitions but fall 13.5% to 20.9% if workers cannot adapt to AI-driven changes. Regional leaders and technology companies are discussing a shared framework focused on regulation, skills, digital infrastructure, data systems, investment and the safe deployment of AI across governments and businesses. IDB President Ilan Goldfajn also called for greater financing, long-term purchase agreements and minimum-price protections for responsibly produced critical minerals, though he provided few details about how the proposed buyers’ club would work.