The advent of artificial intelligence (AI) has undoubtedly boosted productivity and innovation globally, but for one small Caribbean island, AI has proven transformative.
In Anguilla, a British overseas territory in the Caribbean, AI has grown so much that it now generates about one-third of government revenue, according to Forbes magazine. Amazingly, this revenue was generated without a single line of code.
Anguilla, a member of the Eastern Caribbean Monetary Union, makes huge profits from charging fees for every registration of an internet address ending in “.ai.”
This is because “.ai” is the domain name assigned to the island, just like “.jp” in Japan and “.fr” in France.
Anguilla's .ai domain registrations are set to surge from 144,000 in 2022 to 354,000 in 2023, generating over 20% of the government's total revenue for the year. Read our country focus to learn how this will help diversify the economy and make it more resilient to shocks. https://t.co/ULk3V6oVybpic.twitter.com/qgMdCa4aYo
—IMF (@IMFNews) May 24, 2024
Anguilla's country code, “.ai,” has become popular among technology companies around the world, according to an official report from the International Monetary Fund (IMF).
The IMF revealed that since the launch of ChatGPT in November 2022, there has been a dramatic increase in registrations of .ai domain names.
He added that enrolment will jump from 144,000 in 2022 to 354,000 in 2023.
The IMF noted that “AI is also experiencing an unusual boom in Anguilla, a British Overseas Territory and member of the Eastern Caribbean Monetary Union, where the country's .ai country code internet domain has become popular among technology companies around the world. Since the launch of ChatGPT in November 2022, registrations of .ai domain names have surged, jumping from 144,000 in 2022 to 354,000 in 2023.”
In terms of revenue generated, the IMF revealed that “.ai domain registrations generated EC$87 million” last year.
It should be noted that this is 20 percent more than the total revenue of the Anguilla government last year.
The IMF added that “in 2023 alone, the surge in .ai domain registrations could generate revenue of EC$87 million (approximately US$32 million), equivalent to just over 20 percent of the government's total annual revenue.”
“This represents a dramatic increase from the past few years, when revenue from .ai domain registrations hovered around 5%. Going forward, the Government expects revenue from .ai domain registrations to stabilize at around 15% of total Government revenue as the registration rush gradually slows,” he continued.
The IMF noted that Anguilla is heavily dependent on tourism, which accounts for 37% of its GDP, and the growing trend in .ai domain registrations now plays a key role in diversifying Anguilla's economy.
