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Latin Times
Latin Times
Business
Azucena Salazar

IDB: AI Could Grow LatAm's Economy 5.1% — Or Shrink Wages 20% for Workers Left Behind

A photo taken on May 13, 2026 shows the letters AI for Artificial Intelligence on a laptop screen (R) next to the logo of the SpaceX' Grok Chatbot application on a smartphone screen in Frankfurt am Main, western Germany. (Credit: Photo by Kirill KUDRYAVTSEV / AFP via Getty Images)

The Briefing:

  • A new IDB analysis says broad AI adoption could grow Latin America and the Caribbean's economy by 5.1% within a decade — but only 0.3% if adoption stays limited.
  • Whether wages rise or fall comes down to one factor: worker mobility. Pay could climb 2.3% to 5.3% for workers who shift into AI-driven growth sectors, or fall 13.5% to as much as 20.9% for those who can't.
  • The findings, previewed during UN General Assembly week in New York, come months before the IDB's full report lands in November — and the sectors most exposed mirror the ones where Latino workers are already concentrated in the U.S.
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