According to a report by Moody's, the adoption of Artificial Intelligence (AI) in emerging markets is expected to increase Brazil's productivity by 0.4% to 1.4% annually.

An article in the magazine "EXAME" reported that this estimate takes into account the impact of generative AI on automation, skills enhancement, and labor redeployment.

Moody's analysis, based on data from the International Monetary Fund (IMF), shows that productivity growth rates are expected to be higher in developed economies, ranging from 1.2% to 2.9% annually, while the impact on emerging markets is more moderate due to differences in occupational structures. For instance, Luxembourg shows a productivity growth rate as high as 3%.

In international comparisons, Brazil's productivity growth rate aligns with the average level of emerging markets (1.4% annually), which is lower than the average of 2.1% in developed economies.

Furthermore, Brazil ranks low in the Artificial Intelligence Readiness Index, lagging behind economies like Chile, Uruguay, Costa Rica, and Poland but ahead of countries like Panama, the Philippines, and South Africa. This index measures the structural capacity of each country to harness the benefits of AI technology.

Moody's points out that the differences between developed and emerging economies "mask subtle distinctions." While emerging economies may have lower reliance on AI, countries with higher technological readiness could potentially reap benefits faster.

The report also highlights that productivity enhancements are primarily driven by automation. However, the ultimate effects will depend on the re-employment of displaced workers and the creation of new positions.

Moody's also suggests that governments may delay AI adoption to mitigate the social and fiscal costs associated with worker displacement. In countries with lower structural unemployment rates, the potential benefits of automation could be limited.