The opportunity presented by artificial intelligence (AI) is particularly profound for governments in emerging markets. Here demographic momentum, rapid digital adoption, and the absence of legacy constraints converge to create a unique position, enabling these markets to leapfrog traditional development pathways — if emerging market government leaders act decisively and strategically.
Building on this foundation, this report provides, for the first time, a quantification of AI’s public-sector-specific economic potential in emerging markets. These gains are grounded in dynamic modeling that quantifies both direct productivity improvements and the wider spillovers generated by government AI adoption.
AI can help deliver value for governments through three main pathways.
Our modeling suggests that widespread AI adoption within the public sector could increase public administration productivity by up to 3%. This would translate into an increase in real gross domestic product (GDP) by up to 4%, reduce government deficits by as much as 22% reduce unemployment by as much as 1.5 percentage points, and increase household incomes by 2% by 2035 when compared to the baseline scenario in 2035.
These benefits of AI in the public sector are deeply interconnected and mutually reinforcing. A more capable tax authority funds better infrastructure. Streamlined licensing encourages small business growth. Improved agricultural extension services connect farmers with information and technology, which can boost rural incomes. Smarter healthcare systems keep citizens healthier and more productive. Together, AI-supported services can help create a more efficient, adaptive, equitable and trusted government—driving further downstream adoption and compounding benefits.
The realization of these benefits depends on several key enablers as outlined in Google’s AI Sprinters framework.
Our research identified four archetypes of AI readiness. This report introduces a four archetype framework that benchmarks public sector AI readiness in emerging markets which can be used to guide the sequencing of investments and use cases.
This framework is a self assessment starting point—not a ranking—to help governments prioritize feasible use cases now while laying the groundwork for longer term scaling.
Effective implementation of these enablers has already shown that AI can be transformative across multiple government domains. Here are a few notable public sector use cases.
To capture the full promise of AI, governments should treat it as a foundational capability across ministries—not as a collection of isolated pilots. Success requires quick wins to build momentum combined with investments in infrastructure, data and skills to enable more complex, cross-agency solutions. Progress should be tracked to sustain momentum and public trust.
Skills are critical for successful public-sector AI adoption. This report also sets out a practical framework to build AI capability at scale. The Google AI Sprinters Framework identifies three broad tiers of AI roles that governments should cultivate across their workforces:
We outline a structured skills framework that spans core, technical and human-centric competencies across five distinct public personas—leaders, business and product, builders, governance, and end users. This framework enables governments to help align employees to critical roles, target proficiencies to baseline their workforce’s current state and design tailored talent strategies aligned with their AI needs.
Our framework provides a sequenced implementation plan that prioritizes literacy and implementer capacity first while developing innovator pipelines, and defines six actions to operationalize skills:
Together, this skills framework converts policy and infrastructure into sustained capability across the civil service. The path forward is clear. Governments in emerging markets have a unique window to harness AI for fiscal resilience, improved public services and inclusive growth. By acting strategically—anchoring efforts in robust policy, modern infrastructure and a skilled workforce—leaders can deliver transformative results for their citizens and economies.