Empowering Economies: How the G7 is Leveraging AI for Sustainable Growth and Innovation

"Empowering Economies: How the G7 is Leveraging AI for Sustainable Growth and Innovation." Global Business briefing on November 15, 2024. Photo by Oskar Dapp.

As leading economies drive efforts to promote responsible AI development, attention is turning to how these innovations can be leveraged for global economic growth. The focus of the Group of Seven (G7) on AI’s capabilities and influence in 2024 highlights the growing need for international cooperation in advancing emerging technologies. How are G7 countries supporting emerging economies in harnessing AI for sustainable development?

On November 15, 2024, Meridian hosted a Global Business Briefing with Her Excellency Fausta Bergamotto, Undersecretary of State at the Ministry of Enterprises and Made in Italy, convening key stakeholders to explore this critical question. She was joined by:

  • Vincenzo Del Monaco, Deputy Diplomatic Advisor, Ministry of Enterprises and Made in Italy, Government of Italy
  • Leila Elmergawi, Director for Strategy and Senior Advisor, Office of the Special Envoy for Critical and Emerging Technology, U.S. Department of State
  • Fred Humphries, Trustee, Meridian International Center; Corporate Vice President, U.S. Government Affairs, Microsoft
  • Eva Spina, Head of Department, Digital, Connectivity, and New Technologies, Ministry of Enterprises and Made in Italy, Government of Italy

Here Are Some Top Takeaways from the Program

1. Expanding Digital Technology Opportunities through Italy’s “Mattei” Strategic Development Plan

The AI Hub for Sustainable Development, launching in 2025 as part of Italy’s Mattei Plan, is a transformative initiative in partnership with the United Nations Development Programme (UNDP) and nine African Nations —Algeria, Egypt, Ethiopia, Kenya, Ivory Coast, Morocco, Mozambique, Republic of Congo, and Tunisia. This ambitious project, supported by major tech companies like Microsoft, Google, and Amazon Web Services, aims to revolutionize key sectors such as agriculture, healthcare, and energy. The AI Hub has the potential to add $2.9 trillion in value to the African economy, driving sustainable development and economic growth. By fostering mutually beneficial partnerships, the initiative enables African nations to take an active role in shaping AI development.

2. AI as a Versatile Force for Global Solutions

AI is a general-purpose technology, extending its influence far beyond traditional tech applications and emerging as a transformative force in addressing global challenges. As a powerful enabler, AI can optimize resource allocation, advance early warning systems for natural disasters, and promote socioeconomic growth by unlocking new development opportunities. From predicting earthquakes with 70% accuracy up to a week in advance, enabling lifesaving evacuations, and to enhancing agricultural productivity and efficiency, AI has immense potential to reshape infrastructure and spark progress worldwide for a safer, more sustainable future.

3. Supporting Diverse Enterprise Ecosystems

AI must empower small and medium-sized enterprises (SMEs) and microenterprises—not just industry giants—to thrive in the digital age. In Italy’s efforts to support SMEs, it has become clear that many face substantial barriers to AI adoption, with over 40% identifying workforce training and AI skills development as key challenges. To bridge this gap, the Italian government is projected to invest 350 million euros in digital hubs and technology centers to help SMEs access AI tools and expertise. These initiatives will enable SMEs to automate customer service, harness market analytics for smarter decisions, and elevate digital marketing strategies.

4. Ethical Framework and Multilateral Cooperation

As artificial intelligence reshapes the world, its growth must be anchored in ethical principles and robust regulation. The EU AI Act establishes a comprehensive risk-based approach, categorizing AI systems based on their potential impact on society, with high-risk AI systems specifically defined as those that could pose significant threats to health, safety, fundamental rights, or democratic processes. The act mandates strict requirements including risk assessment, quality datasets, and human oversight, while promoting transparency in AI deployment. Through initiatives like the AI Pact, the global community aims to balance innovation with accountability, mandating transparency to ensure AI remains trustworthy and safeguards fundamental rights. By setting clear guardrails, the EU is charting the path for responsible AI that fuels progress while protecting society.

5. Bridging Infrastructure Gaps for Sustainable AI Growth

Emerging markets are shifting from policy talk to action on AI adoption, with Microsoft leading the charge to bridge infrastructure gaps. Microsoft's global initiative aims to bridge digital divides by investing in infrastructure, local AI development, and digital skills across developing regions. In Kenya for example, this means expanding broadband access, creating AI models in Swahili and English, and launching innovation labs to spark technological growth. By providing scalable cloud services, empowering local startups, and building digital capabilities, Microsoft aims to unlock untapped economic potential. These efforts tackle critical infrastructure barriers, ensuring AI becomes a driver of innovation and development—not just a distant promise—in emerging economies.

Project summary

Empowering Economies: How the G7 is Leveraging AI for Sustainable Growth and Innovation | November 2024
Program Areas: Corporate Diplomacy
Meridian Corporate Council members listen to opening remarks from Her Excellency, Fausta Bergamotto during the Global Business briefing on November 15, 2024. Photo by Oskar Dapp.