Plans unveiled during the opening of China’s annual parliamentary session last week placed artificial intelligence at the center of the country’s economic strategy, outlining ambitions to use the technology to raise productivity and address structural challenges including an ageing workforce and slowing growth.

Chinese policymakers said large-scale deployment of artificial intelligence could help offset labour shortages and support economic expansion in the coming years. Officials have framed the technology as a key pillar in modernizing the economy and boosting industrial efficiency.

Government plans emphasize the “job-creation” potential of artificial intelligence over the next five years, positioning it as a tool to stimulate productivity across sectors while supporting broader economic reforms.

The strategy comes as global debate intensifies over the potential impact of artificial intelligence on labour markets. While experts warn the technology could replace certain roles, Chinese officials have sought to reassure the public that new sectors and services will generate additional employment opportunities.

Policymakers have also acknowledged that adjustments to welfare systems may be necessary as the labour market evolves alongside technological change, particularly for younger workers entering the workforce.

Educational institutions across China have begun expanding programmes aimed at preparing students and workers for an economy increasingly shaped by artificial intelligence. Universities are promoting reskilling initiatives designed to equip graduates with technical and digital capabilities aligned with emerging industries.

The initiatives form part of a broader effort to integrate advanced technologies into the country’s long-term economic development strategy while addressing demographic and productivity challenges.

Georgieva delivered the remarks at a symposium hosted by Japan Ministry of Finance in Tokyo, where she said the conflict was once again testing the resilience of the global economy.

Georgieva said higher energy costs triggered by the regional conflict could have broad economic implications if oil prices remain elevated for an extended period.

According to her estimate, a persistent 10% rise in oil prices would translate into roughly a 0.4 percentage point increase in global inflation.Her comments underscore concerns among policymakers that geopolitical tensions in the Middle East could disrupt energy markets and complicate efforts by central banks to bring inflation under control.

Addressing officials and economists at the Tokyo symposium, Georgieva urged governments and central banks to prepare for heightened uncertainty in the global economy.

“My advice to policymakers in this new global environment is think of the unthinkable and prepare for it,” she said, referring to the potential economic shocks stemming from geopolitical instability.

Georgieva added that the latest Middle East conflict was placing additional strain on an already fragile global recovery, highlighting the need for policymakers to remain vigilant as risks to growth and price stability evolve.