Abstract

The rapid growth of Artificial Intelligence (AI) presents both significant opportunities and challenges for developing countries. A well-structured policy framework is crucial to maximize the benefits of AI while mitigating its risks. This review proposes a comprehensive AI policy framework tailored to developing countries, emphasizing the need for robust infrastructure, capacity building, ethical governance, and economic incentives. Key elements include the development of digital infrastructure, education and training programs to enhance AI literacy, and ethical guidelines to ensure fairness and transparency in AI applications. Data governance and privacy protections are critical, particularly in countries where regulatory frameworks are underdeveloped. Furthermore, international cooperation is highlighted as a necessity for aligning local policies with global AI standards, facilitating cross-border data sharing, and ensuring equitable access to AI innovations. The potential impact of AI on economic growth, job creation, healthcare, education, and public service delivery is profound, yet challenges such as workforce displacement, increased inequality, and the digital divide must be carefully managed. The proposed framework addresses these challenges, providing strategies to overcome barriers to AI adoption, including financial constraints, governance issues, and unequal access to technology. Moreover, it stresses the importance of fostering public-private partnerships and ensuring that AI development is inclusive, benefiting all segments of society. By implementing a comprehensive AI policy framework, developing countries can harness AI’s transformative power to drive sustainable development, improve social outcomes, and strengthen their economic standing in the global landscape. This review concludes by recommending continuous policy evaluation and adaptation to keep pace with AI's rapid evolution.

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