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Artificial Intelligence and the Future of Global South: Opportunity or Dependency?

Sardar Muhammad Usman

Sardar Muhammad Usman, Sir Syed Kazim Ali's student, writes on Current Issues.

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23 June 2025

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Artificial Intelligence offers nations in the Global South a transformative pathway for socio-economic advancement, yet it simultaneously risks creating new dependencies on dominant technological powers. Strategic cultivation of indigenous AI ecosystems, coupled with equitable global governance, is crucial for these nations to harness AI as a driver of genuine opportunities rather than a conduit for digital neo-colonialism.

Artificial Intelligence and the Future of Global South: Opportunity or Dependency?

The advent of Artificial Intelligence (AI) marks a pivotal moment in global history, promising transformative changes across all societal strata. For the nations of the Global South, AI presents a complex duality, offering unprecedented opportunities for socio-economic advancement while simultaneously posing significant risks of fostering new forms of dependency. Navigating this complex landscape requires strategic foresight, robust policy frameworks, and a concerted effort to cultivate indigenous capabilities, ensuring that AI catalyzes genuine progress rather than a conduit for external influence and control. Thus, the choices made today will profoundly shape the developmental trajectories of these nations for generations to come.

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The term 'Global South' broadly encompasses countries in Asia, Africa, Latin America, and the Caribbean, often characterized by shared histories of colonialism, ongoing developmental challenges, and diverse economic structures. Against this backdrop, as the AI revolution accelerates, these nations find themselves at a critical juncture. The allure of AI lies in its potential to leapfrog traditional development hurdles, offering innovative solutions in healthcare, education, agriculture, and governance. However, the current AI landscape is largely dominated by a few technologically advanced nations and multinational corporations, primarily in the Global North. This concentration of power raises legitimate concerns about data sovereignty, algorithmic bias reflecting non-local values, and the potential for economic exploitation, where the Global South becomes primarily a consumer and data provider rather than a co-creator and beneficiary of AI technologies. The imperative, therefore, is to critically assess how these nations can harness AI's potential while safeguarding their autonomy and ensuring equitable benefits.

AI's Promise and Peril for Developing Nations

The Leapfrogging Potential

AI offers significant potential for countries in the Global South to bypass conventional, often slower, stages of development. In healthcare, for instance, AI-powered diagnostic tools can extend the reach of medical expertise to remote and underserved areas, addressing shortages of healthcare professionals. AI algorithms can also analyze medical images with remarkable accuracy, facilitating the early detection of diseases. In the educational sphere, platforms enhanced by AI can provide personalized learning experiences that cater to diverse student needs and potentially bridge the quality gap in education. Furthermore, in agriculture, a vital sector for many economies in the Global South, AI-driven precision farming techniques that utilize data from satellites and sensors can optimize resource utilization, improve crop yields, and enhance food security. These applications, thus, demonstrate AI's capacity to deliver innovative solutions to longstanding developmental challenges, offering a pathway to accelerated progress if implemented thoughtfully and equitably. The key, ultimately, lies in adapting AI technologies to local contexts and needs rather than uncritically adopting solutions designed for different socio-economic environments.

Economic Diversification and Industrial Advancement

AI can be a powerful engine for economic transformation in the Global South, driving the development of new industries and enhancing the competitiveness of existing ones. The development of local AI-driven services, from data analytics to software development, can create high-value jobs and stimulate innovation. For example, the Fintech sector in several African and Asian countries is already leveraging AI for mobile banking, credit scoring, and fraud detection, expanding financial inclusion. Similarly, in manufacturing, AI can optimize supply chains, enhance quality control, and facilitate the production of more complex goods. Moreover, AI can empower small and medium-sized enterprises (SMEs), which form the backbone of many developing economies, by providing them with access to advanced analytical tools and market insights previously available only to larger corporations. However, realizing this potential requires substantial investment in digital infrastructure, skilled human capital, and supportive regulatory environments that encourage local entrepreneurship and innovation in the AI space. Indeed, a 2022 report by the United Nations Conference on Trade and Development (UNCTAD) highlighted AI's potential to drive economic growth in developing countries while also warning of the widening digital divide if proactive measures are not taken.

The Shadow of Digital Neo-Colonialism

Despite its promise, the proliferation of AI also carries the risk of entrenching new forms of dependency, often referred to as 'digital neo-colonialism'. The current global AI ecosystem is characterized by significant imbalances, with technology development, data ownership, and standard-setting largely concentrated in a few powerful states and corporations in the Global North. Consequently, nations in the Global South may find themselves reliant on foreign AI platforms and services, leading to a significant outflow of economic resources and a lack of control over critical digital infrastructure. Furthermore, AI algorithms trained predominantly on data from the Global North may embed biases that are irrelevant or even detrimental when applied in different cultural and societal contexts, potentially perpetuating or exacerbating existing inequalities. Compounding this issue, the vast amounts of data generated by users in the Global South, if not governed by robust data sovereignty frameworks, can be exploited by foreign entities without equitable benefit accruing to the source nations. This scenario risks creating a new global division of labor where the South provides raw data while the North reaps the value from AI-driven insights.

Fostering Sovereign AI Capabilities

To counteract the risks of dependency and fully harness the benefits of AI, nations in the Global South must prioritize the development of indigenous AI ecosystems. This involves nurturing local talent through investments in STEM education and specialized AI training programs. In parallel, establishing national and regional AI research centres and innovation hubs can foster context-specific solutions tailored to local challenges and opportunities. Furthermore, governments must create supportive policy and regulatory frameworks that encourage local AI startups, promote public-private partnerships, and ensure the ethical development and deployment of AI. Crucially, collaborative efforts among Global South countries, through knowledge sharing, joint research initiatives, and the pooling of resources, can also strengthen their collective bargaining power and accelerate the development of a more balanced global AI landscape. The African Union's Digital Transformation Strategy for Africa, for instance, highlights the importance of building a continental AI capacity. Such initiatives are crucial for ensuring that the Global South transitions from being merely consumers of AI to becoming significant innovators and producers of AI.

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The journey of AI adoption in the Global South is fraught with inherent complexities beyond the opportunity-dependency dichotomy. Significant infrastructural deficits, including limited access to reliable electricity and affordable internet connectivity, pose fundamental barriers in many regions. The scarcity of skilled AI professionals and data scientists also further constrains the capacity to develop and manage AI systems effectively. In addition to these, ethical considerations such as ensuring data privacy, preventing algorithmic discrimination, and addressing the potential for job displacement due to automation require careful navigation and the establishment of robust governance mechanisms. Moreover, the lack of substantial domestic investment in R&D often compels reliance on external funding and technologies, which can come with strings attached, influencing national AI agendas.

Artificial Intelligence unquestionably stands as a powerful force with the potential to reshape the future of the Global South. Whether this future is characterized by enhanced opportunity and self-determined progress or by new forms of technological and economic dependency hinges on the strategic choices and proactive measures adopted by these nations today. It is imperative to move beyond passive consumption of AI technologies and actively cultivate indigenous capabilities, foster innovation, and implement robust ethical and regulatory frameworks. This involves substantial investment in human capital, digital infrastructure, and research and development tailored to local contexts. Furthermore, fostering South-South cooperation and advocating for a more equitable global AI governance structure is crucial. Thus, the path forward requires a delicate balance, leveraging AI's transformative power to address pressing developmental challenges while vigilantly safeguarding national sovereignty and ensuring that the benefits of this technological revolution are broadly and equitably shared across society. The goal must be to forge a future where AI empowers, rather than subjugates, the nations of the Global South.

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23 June 2025

Written By

Sardar Muhammad Usman

MPhil in Mathematics

Student | Author

Reviewed by

Sir Syed Kazim Ali

English Teacher

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