India, Nov. 12 -- Artificial Intelligence (AI) could boost productivity while displacing jobs in emerging market economies with significant exposure to the IT services and BPO sectors, but the impact is not yet clearly visible in India, Moody's Ratings said.

In its Global Emerging Markets outlook 2027 report, Moody's said for most emerging markets, inadequate access to computing capacity, digital infrastructure and skills could increasingly determine their ability to capture AI-related gains.

Moody's expects GDP growth for the largest EMs in 2027 to be largely similar to that in 2026, with some potential upside depending on a potential easing of the Middle East conflict. Moody's has already raised its projections for India's FY'27 GDP g...