As per the Managing Director of International Monetary Fund, Kristalina Georgieva, AI is devouring the global labour market “like a tsunami”.
IMF Chief Warns of AI Impact on Jobs
In an event organized by the Swiss Institute of International Studies, associated to the University of Zurich, Georgieva said that as many as 60% of jobs in advanced economies and 40% of jobs around the world shall be impacted over the period of next two years by AI.
Asking the people and businesses to be proactive, She added that “We have very little time to get people ready for it, businesses ready for it”.
Highlighting the virtue as well as vice, she said that “It could bring tremendous increase in productivity if we manage it well, but it can also lead to more misinformation and, of course, more inequality in our society.”
Citing instances of global slowdown driven by global pandemic in 2020, as well as the war in Ukraine, she said that the world economy had become more prone to shocks in recent years, citing the global pandemic in 2020.
She also expressed that she expects more shocks due to the climate crisis, remained remarkably resilient, she said.
She said that “We are not in global recession,” who was heckled by protesters calling for action on climate change and tackling developing world debt.
She said that “Last year there were fears that most economies would slip into recession, that didn’t happen”.
She added that “Inflation that has hit us with a very strong force is on the decline, almost everywhere.”
Swiss National Bank’s Chairman Discusses Inflation Outlook at Event
Other notable speaker at the event was Swiss National Bank’s Chairman, Thomas Jordan, who also spoke at the event, said the fight againstinflation in Switzerland was now far advanced.
Inflation rose to 1.4% in April, the 11th month in a row that price rises have been within the SNB’s 0-2% target range.
He said that “The outlook for inflation is much better. It looks that for the next few years, inflation could be really in the same range of price stability”.
He added that “But there is a lot of uncertainty.”
