The AI Maturity Matrix

An economy’s ability to incorporate AI depends on several factors, including talent and funding.

AI will undoubtedly enhance productivity in industries that can use task automation and process optimization. However, it may upend businesses with more manual operations, such as manufacturing and agriculture. The sectoral impact of AI will be uneven, as will its effect on certain types of employment that may become obsolete. Yet AI can create opportunities that will partially neutralize job dislocation.

Information and communications, along with financial and public services, retail, high-tech products like semiconductors, and auto and truck manufacturing, are the industries most susceptible to AI-induced changes. A self-reinforcing effect occurs as these sectors produce goods and services that other businesses use or sell, further boosting the potential for economic growth. Countries with a relatively high exposure to these industries — such as Luxembourg and Hong Kong, with their strong concentrations in financial and business services — face greater potential dislocation.

A nation’s readiness...