Artificial Intelligence for Advancing Sustainable Development Goals: Opportunities and Challenges

Abstract

Artificial intelligence (AI) is reshaping sustainable economic development by offering transformative opportunities while posing significant hurdles in an era of rapid technological advancement. This study explores how AI can drive productivity gains, foster innovation, and support environmental goals, such as optimizing renewable energy systems to cut emissions and enabling precision agriculture for resource efficiency. Drawing on global frameworks like the SDGs, AI emerges as a tool for inclusive growth, potentially adding substantial value to economies through automation and data-driven insights. However, challenges including workforce displacement—impacting up to 40% of jobs in vulnerable markets—widening inequalities between nations, and the high energy demands of AI infrastructure, which could strain global electricity supplies, threaten equitable progress. A mixedmethods approach, incorporating thematic analysis of international reports and quantitative data from sources like UNCTAD and IMF, tests hypotheses on AI's productivity boosts and the need for governance to offset risks. Findings affirm that ethical frameworks and reskilling initiatives are essential to balance benefits, with policy recommendations emphasizing international collaboration, green tech subsidies, and alternative metrics for holistic impact assessment. Ultimately, aligning AI with sustainability requires proactive strategies to ensure resilient, fair economies that benefit all stakeholders amid ongoing evolution.