AI in the public sector holds significant potential for improving administrative efficiency and government services, but successful implementation depends on addressing key ‘how’ and ‘why’ questions. Public sector AI initiatives are still emerging globally, with initial projects mainly focused on streamlining internal processes. Despite these challenges, there is strong interest in AI-enhanced public services.
This white paper will explore different public sector AI applications, such as process automation and AI-driven decision-making, and provide recommendations based on existing best practices and pilot project insights. The research methodology includes document analysis, stakeholder interviews, and comparative studies from various countries.
Current AI applications in the public sector often target low-risk areas like streamlining processes and enhancing citizen interactions. However, more impactful and riskier applications, such as AI-driven decision support and automated decision-making in areas like social welfare and taxation, require clear regulatory frameworks. Critical concerns include ethical development, fairness, accountability, data privacy, and secure supply chains.
Addressing these issues is crucial not just for individual countries but for jurisdictions worldwide. Clear and concrete regulations are essential to ensure that AI systems are ethically developed, fair, and accountable, protecting citizens from potential harms while maximizing the public sector benefits.