Romania’s GDP could increase by EUR 14 to EUR 16 billion over the next ten years if the country adopts generative AI extensively, the survey The Economic Opportunity of AI shows.
The survey, covering the region of Central and Eastern Europe, was commissioned by Google and conducted by the Scandinavian management consultancy firm Implement Consulting Group.
The boost to the country’s GDP, corresponding to a 5% growth, would be mainly driven by an increase in productivity for more than half of the employees in Romania, the time gained from automating several tasks and investing this resource in value-added activities, the report notes. On the other hand, a five-year delay in adopting this technology could cut the potential GDP boost by 1%.
Generative AI is expected to impact up to 4.5 million jobs in Romania, according to estimates presented by the survey. AI is expected to augment more than half of the jobs in the country (54% or 4.2 million jobs) by automating a limited share of the tasks and through the support offered in content creation (text, code, and images), by supporting them in solving complex problems and contributing to product design. It is the case of science and engineering professionals, teachers and managers.
Some 3.3 million (42%) jobs in the country are likely to remain largely unaffected by generative AI, the study found, mentioning operators, construction workers and personal care workers performing human-to-human tasks.
A small share of the jobs in Romania (4% or 0.3 million) are likely to be fully or partially displaced, with more than half of their tasks exposed to automation by generative AI. It is the case of bookkeepers, clerical support workers, or contact center salespersons, the study notes. AI economy jobs are expected to replace those lost to automation.
When it comes to the sectorial impact of AI, most sectors are expected to use the technology to improve human capabilities, the report notes. Unlike with previous automation, like robots, generative AI can increase productivity in the service sector. In Romania, the sectors of information and finance, business services and real estate, and public administration, education, and healthcare are expected to see the highest productivity boost from generative AI, with 1.4% to 1.5% productivity growth at peak.
The Google survey also showed that only 4% of the CEE companies and 2% of those in Romania have adopted at least one type of AI technology in 2023, compared to an EU average of 8%. Nonetheless, 40% of businesses in the country plan to invest in AI-based automation in the next five years. The main obstacle to AI adoption, mentioned by 61% of the CEE companies, is the cost of AI tools.
Overall, the CEE region lags behind the EU average and global leaders on all adoption factors and would require directed governmental strategies, education investment, and support for local innovation and AI commercial initiatives to capitalize on the benefits of AI, according to the survey.
(Photo: Nataliia Mysik | Dreamstime.com)
simona@romania-insider.com
