The IMF has called for global productivity reforms to boost medium-term economic growth, citing a decline since the 2008–09 financial crisis.
They stress the need for policy interventions and embracing emerging technologies.
Honourable Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, echoed these sentiments and advocated for increased tech investment at the recently held public hearing of the Tripartite Committee on National Minimum Wage in Lagos.
Despite subdued growth projections, the IMF remains optimistic, suggesting strategic policies can reignite growth. This involves optimising labour and capital allocation and addressing labour shortages due to aging populations.
Total factor productivity (TFP) is crucial, emphasising technological advancements and efficient resource allocation.
The IMF highlights the potential of artificial intelligence (AI) to enhance labour productivity, though outcomes are uncertain. Depending on adoption and impact, AI could contribute significantly to global growth by 2030.
Overall, the IMF stresses the importance of prioritising technological innovation and policy adjustments to navigate economic challenges and foster sustainable growth.
