Development Archives | Page 2 of 541 | Digital Watch Observatory

Saudi initiative attempts to link AI with sustainability goals

A new AI-enabled sustainability platform developed with support from the World Economic Forum aims to strengthen partnerships across sectors. The initiative is led by Saudi Arabia’s Ministry of Economy and Planning as part of its wider development agenda.

The platform, known as SUSTAIN, uses AI to match organisations with potential partners and opportunities. It is designed to connect government, businesses, academia, and civil society more efficiently and to help move sustainability projects from planning to implementation.

Developers say the system could accelerate collaboration and support the delivery of higher-impact sustainability projects. Official estimates suggest it could help unlock partnerships worth up to $20 billion in Saudi Arabia and significantly more across the wider region.

The initiative forms part of broader efforts to advance long-term sustainability goals through more coordinated action and practical uses of AI. The project is being developed in Saudi Arabia and presented as a tool to strengthen cross-sector cooperation rather than a stand-alone sustainability programme.

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Malaysia expands national AI strategy through Microsoft partnership

Malaysia is strengthening its national AI strategy through an expanded partnership with Microsoft, launching the Microsoft Elevate initiative to accelerate AI readiness across society.

The programme aligns with the country’s AI Nation 2030 ambitions and extends digital skills development beyond traditional sectors.

An initiative that targets educators, public sector institutions, small businesses and wider communities, aiming to embed practical AI capabilities into everyday economic and social activity.

Early deployment has already reached tens of thousands of learners, reflecting a shift from pilot programmes to large-scale national implementation.

Government and industry leaders in Malaysia emphasise that long-term competitiveness depends not only on technological investment but on widespread adoption and understanding of AI tools.

The programme therefore prioritises workforce activation, institutional capacity and sustainable integration across sectors.

Malaysia’s approach reflects a broader global trend where public–private partnerships are increasingly central to AI development, focusing on inclusive access, responsible use and real-world application rather than purely technological advancement.

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EU Global Green Bond Initiative Fund unlocks €20 billion for sustainable infrastructure

The European Union and its financial partners have launched the Global Green Bond Initiative Fund to mobilise up to €20 billion for sustainable infrastructure in developing economies.

The initiative reflects a broader shift towards using private capital alongside public investment to accelerate climate and environmental goals.

Moreover, the fund will prioritise green bonds issued by governments, local authorities, and businesses, with a focus on first-time issuers and least developed countries. By supporting both euro and local-currency bonds, the initiative also aims to strengthen domestic capital markets while expanding the international role of the euro.

Backed by major European financial institutions and supported through the EU guarantees, the GGBI Fund is designed to reduce investment risk and attract private investors at scale.

Alongside financing, the initiative includes technical assistance and subsidy mechanisms intended to improve access to green finance and lower borrowing costs.

The programme forms part of the EU’s Global Gateway strategy, linking economic development with sustainability goals while promoting high environmental standards and long-term resilience across partner regions.

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Nigeria’s TETFund supports AI research and digital development in universities

The Tertiary Education Trust Fund has outlined efforts to support AI research and digital development in higher education institutions. The initiative focuses on strengthening research capacity and innovation.

According to the authority, funding is being directed towards projects that promote technological advancement, including AI-related studies and infrastructure. This aims to enhance academic output and relevance.

The authority also highlights the importance of building skills and supporting researchers to engage with emerging technologies. The approach is intended to improve competitiveness and knowledge creation.

Why does it matter?

The authority presents the initiative as part of broader efforts to advance research and innovation in the education sector in Nigeria.

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UNCTAD data shows that global economic transformation gaps remain uneven

New data from the UN Conference on Trade and Development (UNCTAD) highlights how productive capacities, rather than headline growth figures, determine whether economies achieve meaningful and sustained development.

While some countries record rising GDP, structural weaknesses often prevent these gains from translating into improved living standards.

At the centre of the analysis is the Productive Capacities Index (PCI), which evaluates 43 indicators across areas such as infrastructure, human capital, energy, institutions and private sector development.

The index shifts focus from output-based metrics towards the underlying systems that enable economies to produce goods and services effectively.

The findings by UNCTAD reveal significant global disparities. Developed economies continue to outperform other regions, while developing countries have made gradual progress but have not closed the gap.

Africa remains the lowest-performing region overall, though countries such as South Africa, Tunisia and Morocco show comparatively stronger results within the continent.

Technology, particularly information and communication technologies, has been a key driver of improvement in least developed countries.

However, reliance on natural resources continues to pose risks, limiting diversification and long-term resilience.

UNCTAD’s report underscores the need for governments to adopt multidimensional policy frameworks that prioritise capacity-building instead of short-term growth indicators.

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Agentic AI to take over half of UAE public sector

The UAE has announced an ambitious government framework to integrate Agentic AI across 50% of the public sector and services within two years. Revealed at a Cabinet meeting chaired by Sheikh Mohammed bin Rashid Al Maktoum, the initiative positions AI as an operational partner managing government functions autonomously.

Agentic AI systems will be deployed to monitor developments, analyse data, recommend actions and run operational workflows without human intervention. Authorities expect the shift to improve service speed and efficiency, cut costs, and enable real-time evaluation and continuous improvements across federal entities.

The programme will roll out in phases under a dedicated task force, with performance-based assessments for government entities and leadership. A parallel focus has been placed on workforce development, with training programmes designed to equip employees with advanced AI capabilities.

The framework builds on two decades of digital transformation in the UAE, including earlier national AI strategies and smart government initiatives, and expands the country’s push towards fully integrated, data-driven governance systems.

Why does it matter?

The project marks a shift from digital tools to autonomous governance, where AI can directly run and optimise public services in real time. That raises efficiency and responsiveness, but also makes strong oversight, governance, and workforce readiness essential to ensure safe and effective implementation.

The approach could also serve as a global blueprint for large-scale government AI adoption, shaping how states modernise public services and integrate autonomous systems into core governance.

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ECON adopts Business Wallets opinion and highlights cybersecurity risks

Members of the European Committee of the Regions’ Commission for Economic Policy adopted a draft opinion on European Business Wallets at their meeting, while also addressing cybersecurity, industrial policy, defence, AI, and state aid issues.

ECON members stressed that European Business Wallets should be simple, user-friendly, and cost-effective, particularly for SMEs, micro-enterprises, and start-ups operating across borders. They also backed a ‘once-only’ principle allowing businesses to submit data a single time and reuse it across different administrative procedures.

The draft opinion also calls for awareness-raising, clear guidance, financial support, technical assistance, and training for local administrations facing new obligations.

Rapporteur Branislav Zacharides, Mayor of Vrútky, stated:

‘The deployment of the Business Wallets will entail new administrative obligations for public authorities, which can be especially burdensome for smaller municipalities. We therefore call on the European Commission and Member States to provide adequate technical capacity-building and financial support so that the Wallets can deliver real added value.‘

Members also addressed the upcoming Cybersecurity Review and the Digital Networks Act, warning that new responsibilities linked to digital resilience and connectivity could put pressure on regional and local administrations, especially those with limited resources and technical expertise. They called for financial support, training, and capacity-building to help authorities meet those requirements.

ECON members also discussed the EU Defence Industry Transformation Roadmap and the Industrial Accelerator Act, stressing the need for a place-based approach to defence and industrial acceleration policies. They argued that local and regional authorities should help shape investment priorities and industrial strategies, rather than merely implement them.

The meeting also included a discussion of gender bias in AI and a review of the General Block Exemption Regulation on state aid. ECON members warned that broader state-aid flexibilities could have uneven territorial and competition effects, risking the widening of regional disparities.

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World Health Organization launches AI tool for reproductive health information

The World Health Organization and partners have launched ChatHRP, an AI-assisted tool designed to provide fast access to verified information on sexual and reproductive health and rights.

Developed under the HRP research programme, the system is aimed at supporting evidence-based decision-making in a field where misinformation remains a persistent challenge.

ChatHRP uses advanced natural language processing and retrieval-based AI to deliver referenced answers drawn exclusively from WHO and HRP materials.

The tool is designed for policy-makers, researchers, health workers and civil society organisations, helping them quickly navigate complex scientific and policy information without fragmented sources.

Built for global accessibility, the platform includes multilingual functionality and low-bandwidth optimisation to ensure usability in resource-limited settings. Its structure prioritises accuracy and transparency, with responses linked directly to validated research and guidance that is regularly updated.

The beta phase focuses on professional use cases, where users can query topics such as maternal health, contraception and disease management.

Why does it matter?

The initiative directly improves access to reliable, evidence-based health information in a field where misinformation can influence policy and health outcomes. By centralising verified sources and reducing reliance on fragmented or unverified material, it supports faster, more consistent decision-making across healthcare, research and policy environments globally.

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Austria hosts the first Google data centre in the Alpine region

Google has announced its first data centre investment in Austria, marking an expansion of digital infrastructure in the Alpine region.

The facility, to be built in Kronstorf, is expected to create around 100 direct jobs while supporting growing demand for cloud services and AI capabilities across Europe.

The investment reflects a broader push to strengthen Europe’s digital competitiveness through infrastructure linked to AI-driven growth. By expanding its network capacity, Google says it aims to enhance the performance, reliability, and scalability of its services, helping regional economies remain connected to global digital ecosystems.

Sustainability is a central part of the project. The data centre will incorporate measures such as renewable energy integration, heat recovery systems, and water quality initiatives linked to the nearby Enns River.

These efforts align with wider industry trends towards greener data infrastructure and lower environmental impact.

Alongside infrastructure development, Google is also investing in workforce skills through partnerships with local institutions, including the University of Applied Sciences Upper Austria.

Building on previous training initiatives that have reached more than 140,000 people, the programme aims to equip workers with skills relevant to an AI-driven economy, reinforcing the link between digital infrastructure and human capital development.

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World Economic Forum analysis explains what drives startup growth today

Findings from the World Economic Forum (WEF) highlight a shift in how early-stage ventures grow from pilot projects into fully operational businesses.

Evidence gathered from more than 200 start-ups by UpLink, the early-stage innovation initiative by WEF, alongside investors and policymakers, suggests that scaling no longer depends primarily on innovation itself, but on the conditions enabling deployment.

Core and emerging technologies already exist across sectors, yet barriers remain in market adoption, coordination, and institutional readiness.

Resilience has moved from a strategic ambition to an immediate operational requirement. Start-ups are increasingly built around urgent, clearly defined problems, allowing them to adapt quickly in volatile environments shaped by geopolitical tensions, supply chain disruption, and climate pressures.

Strong partnerships have emerged as a central priority, with a significant majority of ventures seeking collaboration with larger corporate actors to gain access to infrastructure, regulatory pathways, and credibility.

Collaboration at early stages is proving essential in reducing risk and accelerating adoption. Traditional scaling models, based on proving technology before securing buyers, are losing effectiveness in complex sectors with high institutional risk.

Shared responsibility across multiple stakeholders enables innovation to move beyond demonstration phases into real-world application, particularly when aligned with procurement systems and regulatory frameworks.

Commercial viability has also become central to scaling success. Impact alone is no longer sufficient, as investors and buyers increasingly prioritise measurable financial outcomes such as cost efficiency, risk reduction, and resilience.

Market signals, including early contracts and partnerships, now outweigh funding rounds as indicators of credibility.

Why does it matter?

The WEF analysis underscores that scalable growth depends less on innovation alone and more on coordinated ecosystems that turn pilots into real-world adoption.

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