Relevance: Technology, Economy & Social Justice (GS-3) • Source: United Nations Development Programme; IMF AI Preparedness Index

Context
A UN-sourced study warns that rapid Artificial Intelligence adoption could amplify existing digital, economic and social divides across the Asia–Pacific unless policy action ensures inclusivity.

Key findings 

• Countries with strong digital infrastructure, skills and governance (e.g., Singapore, South Korea) are best placed to benefit from AI.
• Lower-income and fragile states risk being left behind; AI gains concentrate among top earners, raising income and wealth inequality.
• For India, the report flags large potential gains from AI but warns of uneven access due to gaps in electricity, connectivity and human capital.

IMF AI Preparedness Index 

• The Index measures digital infrastructure, skills, regulation, and innovation. High-income Asia scores high; India is in the mid-range, indicating room to strengthen policy, data ecosystems and skills training.

Other Spheres where India Lags

• Internet access: India’s penetration lags East Asia, constraining mass AI uptake.
• Income/wealth share: Bottom 50% in India hold a small fraction of national wealth — limiting redistributive gains from AI.
• Basic digital literacy: Spreadsheet/formula knowledge is lower in South Asia, affecting workforce readiness.
• Jobs at risk: Certain routine jobs in South Asia face moderate exposure to AI automation, with gendered impacts.

Role of AI in Widening Inequalities

AI magnifies existing structural divides via:

• Access-based inequality (electricity, broadband, devices)
• Skill-based inequality (STEM, data literacy, advanced cognitive skills)
• Market-based inequality (dominance of large firms, capital concentration)
• Governance-based inequality (uneven regulation, weak data protection)

Way ahead : Invest in universal connectivity, skills upskilling, fair data governance, and targeted social protection to make AI inclusive (aligns with SDG 8 and SDG 10).

Q. The UN warns that Artificial Intelligence could widen existing inequalities in the Asia–Pacific. In light of this, assess India’s preparedness for AI adoption with respect to digital access, human capital, and institutional capacity. (10 marks, 150 words)