Washington:Kristalina Georgieva, Managing Director of the International Monetary Fund (IMF), has emphasized the importance for central banks to factor in the potential slowdown in economic growth driven by artificial intelligence (AI) when making inflation-related decisions.
According to Bahrain News Agency, Georgieva, speaking at an event at the IMF headquarters, noted that while substantial AI investments are promoting growth in some economies, they are also contributing to inflationary pressures and financial stability risks.
The IMF had previously warned that a significant reduction in AI investment could lead to a decrease in global gross domestic product (GDP) by 1.1% and in the US GDP by 1.8% by 2028.