A significant move to systematically advance and ethically utilize artificial intelligence (AI) technology has been observed in Paraguay. Five congress members, Rodrigo Gamarra, Rocío Abed, Miguel del Puerto, Del Pilar Vázquez, and Hugo Mesa, recently jointly proposed the “Law to Promote the Use of Artificial Intelligence (AI) Contributing to the Economic, Social, Scientific, and Cultural Development of the Nation.”

This bill designates the strategic utilization and modernization of AI technology across various sectors of Paraguay as a matter of national interest. According to the reasons for the proposal, amidst the rapid globalization of the information and communication technology sector, AI technology presents both unprecedented challenges and opportunities, emphasizing the need for regulation to maximize its positive impacts.

Comprising a total of 20 articles, this bill presents a comprehensive regulatory framework encompassing the development and application of AI technology. Key aspects include:

Regulation and Oversight: Designating the Ministry of Information and Communication Technologies (MITIC) as the lead agency responsible for establishing and overseeing AI policies, as well as creating a registry of artificial intelligence systems. This demonstrates the government's commitment to systematically manage and supervise the development and application of AI technology at a national level.

Protection of Rights: Establishing ethical principles for the use of AI, with a particular emphasis on protecting personal information, preventing bias and discrimination, and ensuring the transparency of algorithms. This focuses on implementing safeguards to ensure that AI technology respects social values and does not infringe upon human rights.

Economic Incentives: Proposing measures to provide tax benefits and preferential financial support to companies and startups developing AI-based solutions that have a positive social impact. This is interpreted as a strategy to encourage the development of innovative AI technologies and foster a related industrial ecosystem.

Education and Development: Proposing the establishment of a National AI Research Center and the creation of a national AI-related education plan, from basic to specialized education. This highlights the importance of nurturing human resources for the development of AI technology and can be seen as an investment in strengthening the AI capabilities needed for the future society.

Optimization of Public Services: Exploring ways to utilize AI technology in public service areas such as health, education, justice, transportation, and public safety to enhance administrative efficiency. This is part of an effort to improve the quality of life for citizens and increase the accessibility of public services through AI technology.

Notably, this bill specifically addresses concerns related to personal data protection and security. It explicitly prohibits the use of AI for indiscriminate surveillance and imposes an ethical audit obligation for systems that could infringe upon fundamental rights. This is considered an important measure to prevent the misuse of AI technology and protect the freedoms and rights of citizens.

Furthermore, the bill's adaptive approach is noteworthy. It stipulates that regulations can be periodically adjusted in consideration of technological advancements and international best practices, and to this end, the establishment of a National AI Ethics and Regulatory Committee is being promoted. This appears to be an intention to respond flexibly to the rapidly changing AI technology landscape and maintain a regulatory framework that is not outdated.

In recent years, AI technology has been rapidly advancing globally, driving innovative changes in various fields such as economy, society, and culture. In line with this trend, governments around the world are actively working on establishing relevant laws and regulations to maximize the potential of AI technology while proactively addressing potential ethical and social issues.

The European Union (EU) is pursuing a comprehensive AI regulatory framework called the ‘AI Act,’ which aims to classify the risk levels of AI systems and apply strict regulations to high-risk AI systems. This is part of an effort to ensure the safety and reliability of AI technology and protect the rights of citizens.

The United States is also engaged in various policy discussions to strengthen its AI technological competitiveness while managing risks, and individual states are showing unique AI regulatory movements. China is focusing on building an AI governance system tailored to its own circumstances, such as strengthening data security and algorithm regulations while fostering AI technology as a national strategic industry.

Paraguay's proposal of this AI regulation and promotion bill is evaluated as a proactive measure in line with these global trends to actively utilize AI technology for national development while minimizing potential side effects. In particular, it can be interpreted as a strategic choice for Paraguay, a developing country, to avoid falling behind in the AI technology race and accelerate its digital transformation.

If this bill is successfully passed and effectively implemented, Paraguay is expected to lay an important foundation for promoting AI technology innovation, enhancing the efficiency of public services, and securing new economic growth engines. Furthermore, by presenting clear standards for the ethical use of AI technology and the protection of citizens' rights, it is anticipated to contribute to building a sound and trustworthy AI ecosystem.

However, it remains to be seen how the specific details of the bill will be applied in practice and how flexibly the regulations can adapt to the rapidly evolving AI technology. Additionally, preparing for the digital divide or labor market changes that may occur during the introduction and application of AI technology will be an important task.

In conclusion, Paraguay's proposal of the AI regulation and promotion bill is considered an important first step towards strengthening national competitiveness and improving the quality of life for its citizens in the age of AI. Continued attention and discussion on the specific content and implementation process of the bill will be necessary in the future.