Impact of Technology on Economic Growth

New report shows climate action could boost, not weaken, economic growth 🌎 A new joint report by the Organisation for Economic Co-operation and Development (OECD) and the United Nations Development Programme (UNDP) concludes that taking strong action to address the climate crisis will lead to increased economic growth, challenging the common argument that climate policies hinder financial performance. The report finds that setting ambitious emissions reduction targets and implementing the necessary policies would result in a net gain of 0.23% in global GDP by 2040. This gain becomes even more significant when factoring in the avoided economic losses caused by unchecked climate change. The long-term economic benefits of climate action are particularly notable. By 2050, the most advanced economies could see a 60% increase in GDP per capita compared to 2025, while lower-income countries could experience a 124% rise. In the shorter term, investing in emissions reductions would lift an estimated 175 million people out of poverty by 2030, showing that climate action also has a significant social impact. In contrast, failing to act could result in the loss of up to one-third of global GDP over the course of the century. UNDP Executive Secretary Achim Steiner emphasized that investing in the transition to a low-carbon economy does not lead to regression but rather to modest and accelerating GDP growth. UN Climate Chief Simon Stiell also warned of the economic consequences of inaction, particularly for Europe. He projected that extreme weather and climate-related impacts could shrink the European economy by 2.3% annually by 2050, with cumulative effects comparable to a permanent state of recession. Stiell underscored that the climate crisis should be viewed as a national security issue, as increasing climate-related disasters threaten food security, displace populations, and destabilize regions. He noted that unlike the 2008 financial crisis, which had a finite duration, climate-induced economic contraction could persist indefinitely, eroding economies year after year. The risk of widespread unlivable regions and forced migration further adds to the urgency of coordinated global climate action. #sustainability #sustainable #business #esg #climatechange

🌍 Accelerating Industry Decarbonization: Collaboration Is the Key The World Economic Forum's latest report, United for Net Zero: Public-Private Collaboration to Accelerate Industry Decarbonization, outlines a roadmap for tackling industrial emissions, which account for 30% of global greenhouse gases. The report highlights the urgent need for collaboration between governments and businesses to overcome barriers like insufficient funding, regulatory fragmentation, and slow technology adoption. 8 key opportunities to accelerate progress: ✨ Understand and leverage public financial mechanisms: Governments must provide tailored incentives like tax breaks and subsidies to make decarbonization projects financially viable. ✨ Engage your sector to co-develop financial mechanisms: Industries should work with stakeholders to design financing models that align with sectoral needs and drive innovation. ✨ Facilitate carbon tracking adoption within your value chain: Promoting standardized carbon measurement tools and tracking systems can improve transparency and drive efficiency. ✨ Contribute to harmonizing carbon accounting standards: Aligning global standards for carbon reporting will reduce costs and improve accountability. ✨ Proactively support net-zero solutions across value chains: Companies must help decarbonize supply chains, particularly by supporting SMEs with knowledge and funding. ✨ Collaborate with governments on value chain decarbonization policies: Businesses should actively shape policies that accelerate emissions reduction while ensuring fairness. ✨ Co-invest in climate technologies and market creation: Joint investment in technologies like green hydrogen and renewables will be key to achieving net-zero goals. ✨ Help create enabling policies for climate technology adoption: Governments and industries must design policies that reduce risks and boost demand for climate innovations. 🌱 My Reflections 💭 1. Mobilizing Consumer Influence Consumers hold untapped power to drive change. A globally recognized "carbon-neutral certified" label could transform purchasing habits. Transparent certifications and awareness campaigns could accelerate demand for sustainable products. 💭 2. Ensuring Equity Across Borders Global supply chains must help developing economies transition fairly. Capacity-building, knowledge-sharing, and financial support can ensure all regions—not just wealthy ones—meet net-zero goals. 💭 3. Fast-Tracking Green Innovation Regulatory bottlenecks remain a major hurdle. An international fast-track mechanism for green projects could streamline approvals and accelerate innovations like green hydrogen and carbon capture technologies. The challenge is immense, but so are the opportunities. What do you see as the most critical steps toward net-zero industries? 🌟 #NetZero #Sustainability #ClimateAction #Decarbonization #Innovation #Collaboration

𝐀𝐬𝐢𝐚 𝐟𝐚𝐜𝐞𝐬 𝐚 𝐬𝐭𝐚𝐠𝐠𝐞𝐫𝐢𝐧𝐠 $𝟐.𝟓 𝐭𝐫𝐢𝐥𝐥𝐢𝐨𝐧 𝐚𝐧𝐧𝐮𝐚𝐥 𝐢𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭 𝐠𝐚𝐩 in achieving its Sustainable Development Goals (SDGs), especially in clean energy, resilient infrastructure, financial inclusion, and agriculture. 𝐓𝐫𝐚𝐝𝐢𝐭𝐢𝐨𝐧𝐚𝐥 𝐩𝐮𝐛𝐥𝐢𝐜 𝐟𝐢𝐧𝐚𝐧𝐜𝐢𝐧𝐠 𝐢𝐬 𝐧𝐨 𝐥𝐨𝐧𝐠𝐞𝐫 𝐬𝐮𝐟𝐟𝐢𝐜𝐢𝐞𝐧𝐭 𝐝𝐮𝐞 𝐭𝐨 𝐩𝐨𝐬𝐭-𝐩𝐚𝐧𝐝𝐞𝐦𝐢𝐜 𝐟𝐢𝐬𝐜𝐚𝐥 𝐬𝐭𝐫𝐚𝐢𝐧 𝐚𝐧𝐝 𝐠𝐞𝐨𝐩𝐨𝐥𝐢𝐭𝐢𝐜𝐚𝐥 𝐬𝐡𝐢𝐟𝐭𝐬. Blended Finance - which uses limited public or philanthropic capital to unlock large-scale private investment - emerges as a strategic, scalable solution. With over $4.5 trillion in private “dry powder” globally, Asia has both the urgency and the opportunity to reimagine how development is funded. 𝐁𝐮𝐭 𝐜𝐡𝐚𝐥𝐥𝐞𝐧𝐠𝐞𝐬 𝐫𝐞𝐦𝐚𝐢𝐧: 𝐟𝐫𝐚𝐠𝐦𝐞𝐧𝐭𝐞𝐝 𝐝𝐞𝐚𝐥 𝐬𝐭𝐫𝐮𝐜𝐭𝐮𝐫𝐞𝐬, 𝐥𝐢𝐦𝐢𝐭𝐞𝐝 𝐛𝐚𝐧𝐤𝐚𝐛𝐥𝐞 𝐩𝐢𝐩𝐞𝐥𝐢𝐧𝐞𝐬, 𝐚𝐧𝐝 𝐫𝐢𝐬𝐤 𝐩𝐞𝐫𝐜𝐞𝐩𝐭𝐢𝐨𝐧𝐬. 𝐁𝐲 𝐜𝐨𝐦𝐛𝐢𝐧𝐢𝐧𝐠 𝐩𝐮𝐛𝐥𝐢𝐜 𝐨𝐫 𝐩𝐡𝐢𝐥𝐚𝐧𝐭𝐡𝐫𝐨𝐩𝐢𝐜 𝐜𝐚𝐩𝐢𝐭𝐚𝐥 𝐰𝐢𝐭𝐡 𝐩𝐫𝐢𝐯𝐚𝐭𝐞 𝐬𝐞𝐜𝐭𝐨𝐫 𝐢𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭, 𝐛𝐥𝐞𝐧𝐝𝐞𝐝 𝐦𝐨𝐝𝐞𝐥𝐬 𝐝𝐞-𝐫𝐢𝐬𝐤 𝐢𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭𝐬 𝐚𝐧𝐝 𝐜𝐫𝐞𝐚𝐭𝐞 𝐢𝐧𝐜𝐞𝐧𝐭𝐢𝐯𝐞𝐬 𝐟𝐨𝐫 𝐬𝐜𝐚𝐥𝐚𝐛𝐥𝐞 𝐩𝐫𝐢𝐯𝐚𝐭𝐞 𝐩𝐚𝐫𝐭𝐢𝐜𝐢𝐩𝐚𝐭𝐢𝐨𝐧 𝐢𝐧 𝐬𝐞𝐜𝐭𝐨𝐫𝐬 𝐭𝐡𝐚𝐭 𝐰𝐞𝐫𝐞 𝐨𝐧𝐜𝐞 𝐜𝐨𝐧𝐬𝐢𝐝𝐞𝐫𝐞𝐝 𝐦𝐚𝐫𝐠𝐢𝐧𝐚𝐥𝐥𝐲 𝐯𝐢𝐚𝐛𝐥𝐞. This includes all areas with untapped potential across India and Southeast Asia. India, with its strong institutional frameworks and policy-led financial infrastructure, is uniquely placed to harness this wave. Initiatives like 𝐅𝐀𝐒𝐓-𝐏, which aims to mobilize $5 billion toward Asia’s climate transition, are already demonstrating outcomes. In Gujarat, startups supported by GIFT City’s regulatory sandbox are creating sustainable debt products tied to climate action, while NBFCs are testing blended lending models to fund electric mobility and decentralized energy projects. In Maharashtra, early-stage funds are experimenting with micro-blended models in agriculture and dairy logistics, using carbon offset mechanisms to bring commercial value to sustainability. Delhi-based startups in fintech and insure-tech are leveraging risk guarantees to serve underbanked populations in rural belts—proof that catalytic capital can activate both inclusion and innovation. And yet, barriers persist. Project preparation remains underfunded, institutional capital is still cautious, and most deal structures are tailor-made - leading to high transaction costs and slow replicability. Blended finance will only achieve scale if ecosystems are built around standardization, local capacity building, and long-term public-private collaboration. Blended finance is not just a funding mechanism - it’s India's opportunity to align innovation with inclusion. With the right partnerships, we can turn investment gaps into gateways for sustainable growth.

Here's how UPI turned 200 million Indian women into entrepreneurs when banks couldn't!  Before UPI, most women running small businesses worked in cash, with no bank trail, no credit access, and no real way to grow beyond their local circle. Fast forward to 2025, with 536 million women aged 15+ in India and 37% already using mobile internet, the potential market for internet-based UPI solutions is approximately 200 million women. In a country where 65% of women in the workforce are self-employed, digital financial inclusion creates tangible economic empowerment. But UPI is doing more than digitizing payments: ➡️ It builds financial history and business credibility ➡️ Unlocks access to loans, insurance & government schemes ➡️ Helps women manage and grow money independently We're already seeing this in action: — Women dairy farmers in Maharashtra now use UPI to sell directly to cooperatives. — Street vendors in Gujarat track daily income through digital payments. — Self-help groups in Bihar pool savings and access microloans through mobile wallets. Because for many women, the journey to digital confidence starts when someone they trust. These are some schemes that are helping women adopt UPI… 📍 UPI for Her – Tailored digital tools by NPCI & Women’s World Banking for women-led micro-businesses 📍UPSRLM (Uttar Pradesh State Rural Livelihood Mission) – Local women agents trained to onboard others with confidence 📍MAVIM(Mahila Arthik Vikas Mahamandal) – Helping rural women switch from cash to UPI and grow their ventures 📍WEP (Women Entrepreneurship Platform) – A national platform connecting women entrepreneurs with digital and financial support Digital payments give women more visibility. This visibility leads to more control over both their business and household money. How has digital banking changed your business?

Fintech for good: Enabling Digital Payments for Women in India 🇮🇳 through UPI When women gain access to #financialservices and opportunities, it creates a powerful #ripple effect that extends far beyond individual economic gains. Access leads to benefits to the individual, the household, the #community and eventually the nation. Benefits include improved household #welfare, increased participation of women in the formal economy, arms women with financial independence which they can use to lift their families out of poverty. There is sufficient evidence that #financial inclusion gives women more decision-making power within households and communities. It leads to better #education and #health outcomes Now, let's delve into the key takeaways from the attached report ‘UPI for Her’ which is a #collaborative initiative by the National Payments Corporation Of India (NPCI) and Women's World Banking that seeks to explore opportunities to increase the participation of women in the digital payments ecosystem – as a driver for financial inclusion and economic #prosperity. This is their first report of the initiative. 🇮🇳 Untapped potential: India has a vast untapped market of 200 million women ready to embrace #digitalpayments 🇮🇳 Persona-based approach: The report identifies two key personas among women: "Cautious Balancers" and "Fence Sitters," each requiring tailored strategies for #UPI adoption. 🇮🇳 UPI-PPI solution: Prepaid Payment Instruments (#PPIs) serve as a safe entry point for Cautious Balancers, providing a sense of control and security. 🇮🇳 UPI for Merchants: Women micro-entrepreneurs (Fence Sitters) are more likely to adopt UPI when shown tangible benefits for their businesses. 🇮🇳 #Phygital onboarding: In-person assistance combined with #digital tools is highly effective in onboarding women and building their confidence in using digital financial services. 🇮🇳 Community partnerships: Collaborating with local community networks and women's groups is crucial for reaching and engaging women effectively. 🇮🇳 Gender-intentional outreach: Tailoring marketing and outreach efforts specifically to women's needs and concerns is essential 🇮🇳 Continuous engagement: Providing ongoing support and gradually introducing more complex financial products is key to retaining women users. 🇮🇳 Transparent communication: Clear explanations of fees, features, and benefits are crucial for building trust among women users. 🇮🇳 Inclusive design: Gathering gender disaggregated #data and using it to inform product design and user experience can significantly improve adoption rates. 🇮🇳 Policy implications: The report suggests that #policymakers should require financial service providers to report payment data by gender and integrate this into financial inclusion indices. 🇮🇳 Ecosystem approach: Digitizing the entire value chain, including small traders and wholesalers, can accelerate UPI adoption among women micro-entrepreneurs.

Despite digital finance advancements, billions remain financially excluded due to infrastructure gaps, illiteracy, and economic disparity. To address this, Universal Payment Access Platforms (UPAPs) must be launched—integrating feature phones, biometrics, local agents, and voice interfaces into a unified, inclusive ecosystem. Simultaneously, Currency Inclusion Indices (CIIs) should measure real digital participation, especially among vulnerable populations. These reforms ensure equitable access, boost economic activity, and embed trust in digital finance, making financial inclusion not just a policy goal but a tangible economic enabler. #FinancialInclusion #DigitalFinance #UPAP #BiometricBanking #InclusiveGrowth #CurrencyEquity #FintechForAll #UnbankedToBanked #CII #RuralFinance #VoiceBanking #SmartFinance #EconomicJustice #CBDCInclusion #AccessToFinance #DigitalEmpowerment #LastMileBanking #InclusiveEconomy #FintechInnovation #EconomyForEveryone #30dayLinkedInChallenge  #ISBEEAlumni

Technology, inequality, and the institutions that make the difference The standard narrative on #digitalisation underlines that #technology rewards the highly skilled but punishes the rest, widening #income gaps as a matter of course. My new research with Roberto Antonietti & Chiara Burlina, however, tells a different story: digital transformation does not inherently drive inequality. Whether digitalisation causes #inequality depends on the quality of local institutions. #We find that in European #regions with good governance and strong #SocialCapital, digital investment spurs not just innovation, but social cohesion. Effective institutions cushion the labour market shocks of #automation, distributing digital gains more fairly, and creating ladders of opportunity. The upshot? Digital progress, far from being a zero-sum game, can be a force for inclusion, but only if the right institutional foundations are in place. Where local institutions falter, inequality is the result, undermining, in turn, the overall returns of digitalisation. For policymakers, this representents a clear warning: technology alone is a necessary, but not a sufficient force to promote development. Regions that invest in both digitalisation and institutional resilience will be the ones that turn disruption into prosperity. If you are interested in the full study, you can find it in the link below. It's #OpenAccess: Antonietti, Burlina, Rodríguez-Pose (2025), Digital technology and regional income inequality: Are better institutions the solution?, Papers in Regional Science. DOI: https://lnkd.in/dZTrUsc9

AI & Equality: Navigating the Global Divide Is it getting better or worse? As #AI continues to reshape our world, its influence on global and national equality is becoming increasingly evident. While AI holds the promise of unprecedented advancements, it also poses challenges that could exacerbate existing disparities. According to the International Monetary Fund (IMF), AI could impact up to 60% of jobs in advanced economies and 40% globally, potentially leading to significant labor disruptions and increased inequality. In the #UnitedStates, a Brookings Institution survey found that about half of Americans believe AI will lead to greater income inequality and a more polarized society. The racial wealth gap is another area of concern. A McKinsey report warns that generative AI could add $43 billion annually to the U.S. racial wealth gap over the next two decades, disproportionately affecting Black households. Globally, disparities in AI preparedness are stark. Advanced economies are better positioned to leverage AI technologies, while low-income countries face significant barriers due to limited infrastructure and resources. This digital divide threatens to widen existing inequalities between nations. Experts like Dr. Fei-Fei Li emphasize the importance of inclusive AI development, stating, "We must ensure AI does not only amplify existing inequalities but becomes a tool for inclusion." Similarly, Noble Prize winner Geoffrey Hinton, godfather of AI, has highlighted the dual nature of AI's potential, urging careful consideration of its societal impacts. To harness AI's benefits equitably, collaborative efforts between governments, industries, and communities are essential. This includes investing in education, infrastructure, and policies that promote inclusive growth. I enjoy the positive approach and promising view of experts like Andrew Ng and Reid Hoffman, but it is just one side of the reality. Let's work together to ensure AI serves as a bridge to equality, not a barrier. #AI #Equality #DigitalDivide #AminShad #10Phase #TechForGood

AI has potential BUT to unlock economic growth in Africa, we need to: Empower women 👩💻💪 with internet access and digital skills. Make smartphones and data more affordable📱💸so more people can get online. Boost digital literacy 📚🧠 for all. Other interesting information from the report: Bridging the digital divide in low- and middle-income countries (LMICs) has the potential to unlock over $3 trillion in economic growth. A significant portion of this, over $1.3 trillion, could be achieved simply by closing the gender gap in mobile internet access. Over the past 3 years, Asia has made progress with for example smartphone ownership in Pakistan increasing from 28% to 36%, while feature phone usage in most African countries remains high (see figure 13-15).  Almost 90% of those not using mobile internet live in areas covered by mobile broadband, it's not about a coverage gap anymore but rather a usage gap. Smartphone sharing is a common practice, but it presents both opportunities and challenges in terms of digital inclusion. Mobile internet growth is slowing down in LMICs, with fewer people adopting mobile internet in 2023 compared to previous years. Great work and report from GSMA as usual! Full report: https://lnkd.in/eHXu4ZS7 For an audio overview, checkout Google NoteBookLM which does an impressive job in generating a podcast out of PDF files using AI, worth listening even if you’re an AI skeptic.   https://lnkd.in/ecYtPSDv

Renewable energy is not just a climate imperative - it’s a precondition for digital economies and inclusive growth. By 2030, AI is projected to create nearly +170 million new jobs. However, with so many of these new roles yet to be formed, the question remains: how can we connect millions of job-seeking youth to this expanding sector? For countries with large youth populations, this isn’t a disruption; it’s an opportunity to build more equitable, future-ready economies. It all starts with energy. AI models and digital tools depend on reliable electricity, yet only 48% of people in Sub-Saharan Africa have access. With 70% of the region under 30yrs, the path forward is clear: renewable energy is the foundation for digital inclusion and youth-led innovation. The solutions are already here: ➡️ Distributed solar power is enabling rural innovation hubs in Papua New Guinea, where youth and women are launching businesses and learning technical skills. ➡️ In Indonesia, the Youth Co:Lab initiative supports youth-led enterprises delivering solar cold storage and clean cooking to last-mile communities. ➡️In Uruguay, a public-private AI training program is scaling in public schools - preparing students for careers in energy, agriculture and logistics. ➡️In the Dominican Republic, a national AI strategy is helping youth gain digital skills and launch small enterprises. Local innovation ecosystems must bridge the gap between energy, data, and jobs. Countries that invest in distributed renewable energy, open-source data platforms and localized AI training programs are better positioned to build domestic markets for AI-enabled services. This is not just a development challenge; it’s a strategic opportunity. With the right investment in energy, skills, and ecosystems, we can drive the AI and clean energy transitions from the ground up. To find out how, I invite you to explore the latest edition of the Sustainable Energy Bulletin: 👉 https://lnkd.in/e28kqP-R #EnergyForDevelopment #EnergyRevolution #AIRevolution #JobsOfTheFuture #DigitalInclusion