Will AI work with our demographic dividend?

For many years, Pakistan’s story — particularly, the case for investing — has largely pinned on some variation of the demographic dividend. Basically, the fact that we have a huge youth population of digital natives not only makes us a potential powerhouse as a consumer market but also an attractive source of raw talent. While the argument has merit, it’s not without caveats, which have an inverse relation with optimism. Traditionally, the counterpoints to the promise of demographic dividend have varied from the substandard quality of the education system to the more macroeconomic explanations, particularly the declining purchasing power. But of late, a new variable, artificial intelligence (AI), has been introduced into the mix, whose direction and quantum of impact are still a topic of debate. It’s not just about Pakistan: advancements in AI have prompted loads of predictions on the potential effect on employment.