As A.I. Gains, Human Development Stalls

As Artificial intelligence (A.I.) races ahead at lightning speed, human development has stalled, with decades of progress reflected in the Human Development Index flat-lining with no clear path to recovery from the blows dealt by the COVID-19 pandemic and subsequent crises.

The 2025 Human Development Report, “A Matter of Choice: People and Possibilities in the Age of Artificial Intelligence,” issued by the United Nations Development Program (UNDP) has noted that even as A.I. looks to redefine mankind’s future, it also risks deepening global divides. “For decades, we have been on track to reach a very high human development world by 2030, but this deceleration signals a very real threat to global progress,” said Achim Steiner, UNDP administrator.

“Amidst this global turmoil, we must urgently explore new ways to drive development. As Artificial Intelligence continues its rapid advance across so many aspects of our lives, we should consider its potential for development. New capabilities are emerging almost daily, and while A.I. is no panacea, the choices we make hold the potential to reignite human development and open new pathways and possibilities,” he added.

According to the new report, Pakistan is in the ‘low’ human development category, with a Human Development Index (HDI) value of 0.544, ranking it 168 out of 193 countries. If adjusted for inequality, Pakistan’s HDI decreases by 33.1 percent to 0.364, while its Multidimensional Poverty Index remains unchanged from 2023/2024 levels at 0.198. However, Pakistan has shown modest improvement in the Gender Inequality Index (value of 0.536 with a rank of 145 out of 172 countries), and the Gender Development Index (value of 0.838), bringing it closer to global trends.

“Despite its economic and social development challenges, Pakistan is emerging as a dynamic force in the technological space with great potential,” said UNDP Pakistan Resident Representative Dr. Samuel Rizk. “With its large population, growing digital infrastructure, vibrant tech talent and appetite, and a National A.I. Policy being formulated, the country has a real opportunity to use A.I. for inclusive and accelerated development.”

The HDR also features findings from a new global survey, revealing that people are realistic yet hopeful about the change A.I. can bring. While half of respondents believe their jobs could be automated, an even larger share—six in ten— expect A.I. to impact their employment positively, creating opportunities in jobs that may not even exist today. Only 13 percent of respondents fear A.I. can lead to job losses. In low- and medium-HDI countries, 70 percent of respondents anticipate that A.I. will boost their productivity, and two-thirds expect to use A.I. in education, healthcare, or work within the next year.

The HDR advocates for a human-centered approach to A.I., which has the potential to fundamentally redesign approaches to development. It also outlines three critical areas for action: building an economy where people collaborate with A.I. rather than compete against it; embedding human agency across the full A.I. lifecycle, from design to deployment; and modernizing education and health systems to meet the demands of the 21st century.