One chief investment officer says AI is poised to deliver gains in productivity for the rest of the decade. 

Jason Draho, head of asset allocation and CIO Americas at UBS Financial Services, said in an interview with BNN Bloomberg on Monday that a few years ago there was prevailing sentiment that technology would play out as the “story of the decade.” He says this disruption is now in the early stages of taking place within the AI industry.     

“What we're seeing is faster (AI) spending, faster acceleration than we would have thought even a year ago. So it at least puts on the table the prospect that this could be a driver of growth and productivity gains specifically for the rest of this decade,” Draho said. 

He also highlighted that AI is a productivity-enhancing tool and could be disinflationary. 

“It's a positive supply shock. So ultimately, if the economy's more productive and gets more output with the same amount of workers, it also means you can grow faster and it can be disinflationary,” Draho said. 

He added that growth in this area is an overall positive for the economy, similar to the performance of the technology industry in the second half of the 1990s. 

To watch the full interview with Draho, click on the video at the top of this article.