IMF: Global AI Investments May Surpass $2 Trillion This Year

The International Monetary Fund (IMF) projects that private sector investments related to artificial intelligence (AI) may surpass $2 trillion by 2026, potentially emerging as one of the fastest-growing economic drivers in recent years. AI is expected to be a significant force in boosting global productivity and investment.

In the United States, investments in AI-related technologies reportedly contributed 0.5 percentage points to GDP growth in 2025. Productivity growth in the U.S. has also accelerated in recent years, partly attributed to early AI applications.

As global spending shifts towards deploying AI across industries, productivity gains are anticipated to accelerate. Asia is actively pursuing AI-driven opportunities. Singapore ranks first in the IMFAI readiness index due to its robust digital infrastructure, education system, and forward-looking regulations. East Asia remains a hub for chip manufacturing and design, while Southeast Asia enhances its position in the value chain by leveraging its manufacturing strengths.

However, significant risks are also present. Policymakers, households, and businesses are increasingly concerned about AI's impact on labor markets, including potential job displacement and wage stagnation for some workers. IMF research indicates that jobs requiring AI skills command higher wages, but these areas have not seen overall employment growth. Middle-skill workers, whose roles are more susceptible to automation, have not shared in these gains.