Artificial Intelligence Has the Potential to Accelerate Human Development

UNDP's Global Human Development Report Presented in Serbia for the First Time

May 8, 2025
A virtual speaker addresses an audience in a conference room with flags displayed.
Photo: UNDP Serbia / Jelena Babić

Belgrade, May 8, 2025 - The Director of UNDP's Global Human Development Report Office, based in New York, Pedro Conceição, presented the main findings of the 2025 Human Development Report today at the Palace of Serbia. On this occasion, the addresses were delivered, on behalf of the Prime Minister of the Republic of Serbia, by the Advisor for Foreign Relations and Coordination of Strategic Policies, Jadranka Joksimović, and the Director of the Office for IT and eGovernment, Mihailo Jovanović.

The report, titled “A Matter of Choice: People and Possibilities in the Age of Artificial Intelligence,” delivers a concerning message that global human development progress is at its lowest level in the past 35 years, and the inequality gap between wealthy and poor countries has been widening for the fourth consecutive year. At the same time, the report highlights that artificial intelligence (AI) could help accelerate human development and that the majority of people are optimistic about the changes AI could bring to their futures.

“The choices we make in the coming years will define the legacy of this technological transition for human development. With the right strategies and by putting people at the center of AI development, it can serve as a crucial bridge to new knowledge, skills, and ideas that can empower everyone, from farmers to small entrepreneurs,” emphasized Pedro Conceição, Director of UNDP's Human Development Report Office.

Conceição pointed out three key areas for action: developing an economy in which humans collaborate with AI rather than compete against it; ensuring human oversight throughout AI’s lifecycle, from design to implementation; and modernizing education and healthcare systems to meet 21st-century demands.

According to the Human Development Index (HDI), which measures progress in life expectancy, education levels, and gross national income, countries are ranked in several categories, ranging from those with low to those with very high human development. The 2025 Report states that Iceland has the highest HDI, followed by Norway and Switzerland, which share second place. Denmark ranks fourth, while Germany and Sweden share fifth place.

Serbia's Human Development Index for 2023 stands at 0.833, placing it 62nd out of 193 countries and territories included in the UNDP analysis, and in the category of very high human development countries. Compared to the previous Human Development Report, Serbia has advanced by three spots. Within the region, Slovenia ranks the highest (21st place), followed by Croatia (41st), Montenegro (48th), North Macedonia (68th), and Bosnia and Herzegovina (74th). The expected life expectancy in Serbia is 76.8 years, while citizens have completed an average of 11.6 years of schooling, with younger generations expected to complete an average of 15 years of education.

The Advisor to the Prime Minister of Serbia for Foreign Relations and Coordination of Strategic Policies, Jadranka Joksimović, speaking on behalf of Prime Minister Prof. Dr. Đura Macut, stated that the responsible application of artificial intelligence is of strategic importance to the Government.

Audience seated and attentively listening in a well-lit conference room.
Foto: UNDP / Jelena Babić

"The responsible application of artificial intelligence is, above all, a matter of prevention rather than sanctions, and that is why we have introduced the topic of AI into primary and secondary education. Artificial intelligence should serve human and humane development. Dialogue and cooperation are the way to create such development policies, and these values must be enforced through practice and action," Joksimović said. She emphasized that, when it comes to human development policy, education is Serbia's comparative advantage, and efforts must be made to preserve it, as initiated by the Prime Minister.

Joksimović thanked UNDP for being one of the first partners to provide developmental support to Serbia, ranging from flood and COVID crises to numerous joint projects, including those in the field of digital transformation.

The report also includes results from a survey showing that people around the world have realistic expectations and hope regarding the changes artificial intelligence can bring. Half of the respondents believe their jobs could be automated, while 6 out of 10 expect AI will positively impact their employment opportunities by creating jobs that do not yet exist today. Only 13% of respondents fear that AI could lead to job losses. In low- and middle-income countries, 70% of respondents expect AI to increase their productivity, and two-thirds predict the use of AI in education, healthcare, or work within the next year.

The Director of the Office for IT and eGovernment, Mihailo Jovanović, noted that in 2019, Serbia adopted its first AI Development Strategy for the period 2020–2025, becoming the first country in Southeast Europe and only the 26th worldwide to take such a strategic step forward.

"At that time, we already knew that AI would become one of the most critical technological challenges for all of humanity, and today we are proud to say that we also have a new AI Development Strategy for the period 2025–2030," Jovanović said, adding that the Office established a National Platform for AI Development at the State Data Center and continuously works on expanding and improving the supercomputer that forms the foundation of this platform.

"This year, we are investing €55 million in expanding the supercomputer in Kragujevac. The first upgrade, which will be operational by the end of this year, will deliver speeds seven times faster than the supercomputer installed in 2022. In partnership with the Government of France, we have secured €50 million for another supercomputer and for applying AI in public administration. Upon the completion of these investments, Serbia will have the most powerful supercomputer in the region and one of the 20 most powerful supercomputers in Europe dedicated to AI model training. This will also be available to the private sector as a form of state subsidies in the digital transformation of Serbian companies," Jovanović stated.

Dr. Petar Veličković, a Senior Researcher at Google DeepMind, also took part in the event, emphasizing that AI should be used to amplify human capabilities, as humans and artificial intelligence together can achieve what neither could accomplish alone.

AI experts Dr. Aleksandra Dragičević from the Centre for the Fourth Industrial Revolution and Dr. Branka Rakić from the Institute for Artificial Intelligence presented examples of using AI in medical diagnostics, such as using AI for reading mammography scans. They highlighted the steps needed to digitize the healthcare system to enable such solutions to be applied in medical centers across Serbia.

The Human Development Report is available in English at the following link: https://hdr.undp.org/content/human-development-report-2025.

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