Posts Tagged ‘eesti.ai’

If someone out there was going to make artificial intelligence an inªtegral part of its economy, a good bet would have been Estonia. Already one of the most digitalised countries, it is now looking to systematise its approach to the technology with the aim of increasing the size of its economy by half by 2035 (amounting to an extra €20 billion). Unveiled yesterday by Kristen Michal, the prime minister, and a group of the country’s all-star entrepreneurs, the Eesti.ai initiative will start by identifying the areas where AI stands to make the biggest impact. (The leading candidates are education, healthcare and security.) Once the areas are finalised, public-private partnerships will then be set up to develop applications that can increase productivity.

For a country in Estonia’s situation, such increases are not just nice-to-have. Its population is shrinking, and, all things being equal, when residents do not have enough babies, the labour force contracts. The result must either be fewer services or higher taxes. Immigration is one way to avoid having to make a that choice, but this option is becoming increasingly less viable; population declines are not unique to Estonia, and that is putting skilled labour at a premium throughout Europe. Another is to find ways for the hands that remain to do more work, and here, Estonia is hoping that, AI, in the labour market at least, will make its residents more productive.