This Is How A Small Caribbean Island Harnesses AI For Success

The emergence of artificial intelligence (AI) has sparked global innovation and productivity, but for Anguilla, a small British overseas territory in the Caribbean, it has led to a profound transformation.

According to Forbes, Anguilla now derives approximately one-third of its government revenue from AI, a remarkable feat achieved without writing a single line of code. As a member of the Eastern Caribbean Currency Union, Anguilla’s economic success hinges on its unique position as the domain registrar for internet addresses ending in “.ai”. Similar to “.jp” for Japan and “.fr” for France, “.ai” has become synonymous with the island, attracting a surge of interest from technology companies worldwide.

The International Monetary Fund (IMF) reports a staggering rise in “.ai” domain registrations since the launch of ChatGPT in November 2022. Registrations skyrocketed from 144,000 in 2022 to 354,000 in 2023, propelling Anguilla into the spotlight of the global AI boom.

IMF data reveals that “.ai” domain registrations generated EC$87 million in revenue last year, surpassing the island’s total government revenue for the same period by 20%. This marks a significant shift from previous years when “.ai” revenue accounted for only 5% of total government income.

Looking ahead, the IMF anticipates “.ai” domain revenue to stabilize at around 15% of total government income, providing a vital source of diversification for an economy heavily reliant on tourism, which constitutes 37% of its GDP. Anguilla’s success story underscores the transformative potential of AI in driving economic growth and resilience, even for the smallest of nations.