New Zealand has created its first National AI Strategy. The country aims to become a leader in the technology field and increase the adoption of Artificial Intelligence in the economy. This strategy makes New Zealand the last member of the OECD to have a formal AI framework in place, and the strategy aims to put New Zealand in the ranks of developed economies.
This AI strategy forms a key pillar of the government’s “Going for Growth” Economic Plan
The Minister of Science, Innovation and Technology, Shane Reti, stated the government’s aim is to encourage businesses to adopt the technology. New Zealand’s government has backed the flow of private sector investment in AI.
Industry research mentions that generative AI technology adoption can increase the economy by NZ$76 billion by 2038. That’s more than 15% of GDP. The strategy also mentions that the lack of adoption is due to many barriers, like regulatory uncertainties, ethical AI, and AI skill gaps.
Increased adoption of AI technology in New Zealand will bring many challenges, but the government is ready to deal with these challenges.
New Zealand is prioritizing a light, principle-based method to guide regulations, along with the release of the “Responsible AI Guidance for Businesses” assisting document, and the promotion of AI understanding in the public and private sectors. Educational institutions are developing courses in machine learning and AI applications, while the public sector will offer AI masterclasses and foundational courses for civil servants.
New Zealand has seen a quick rise in the use of AI
New Zealand AI reports that the number of businesses using AI has nearly doubled since 2023, increasing from 48% to 82-87%. This is led by large businesses, with 92% of them saying that they integrate AI and use services like ChatGPT, Microsoft Copilot, and Google Gemini.
There are direct positive results on productivity with the new AI systems, with 93-96% of the workforce saying they are able to work more efficiently, and 71% of businesses saving money on operational costs. AI is also creating new job opportunities, with 62% of companies saying that AI has augmented jobs.
Building consumer trust is very important. 69% of people in New Zealand use AI, but only 34% trust it, and 75% believe AI-generated content is unreliable. The framework seeks to close the trust gap with proactive, transparent, and accountable ethical governance.
The public sector is also making progress. A 2025 cross-agency survey recorded 272 AI use cases across 70 government agencies. This figure is more than double that of the previous year. Of these, 55 AI use cases are now fully operational, indicating a shift from pilot projects to real-world implementation.
Minister Reti’s strategy also supports global collaboration in the joint pursuit of AI that is adherent to democratic values and aligns with OECD principles on the trustworthiness of AI. The government plans to carry out multi-stakeholder initiatives to ensure the responsible development and deployment of AI.
Other countries in the region present challenges in infrastructure
Neighbors to the north, such as Singapore, and to the west, like Australia, have made significant investments in AI infrastructure and raised questions about New Zealand’s longer-term competitiveness.
New Zealand lacks both digital infrastructure and innovation competency, which is why it ranks more poorly than in the 40th position. This is corroborated by the 40th position in the Oxford Government’s AI Readiness Index.
There is, however, an adoption focus in New Zealand’s AI Infrastructure Development. This should lead to impressive results to achieve the success level needed to justify increased investment.
New Zealand should upskill its governance to coordinate infrastructure development. New Zealand has achieved impressive results in the increased attention to AI globally. New Zealand’s unique focused plan assures all New Zealand businesses, the Public Sector, and employees that AI in New Zealand is focused on an AI Future.