# Warsh Says AI Could Boost Productivity, Warns Path Will Be ‘Very Bumpy’ By Riza Dagoc Canonical URL: https://www.tokenpost.com/news/regulation/33224 Published: 2026-10-16T11:50:55.000Z Updated: 2026-10-16T11:50:55.000Z Section: Regulation > Warsh gave no signal on another Fed rate increase at its Oct. 27-28 meeting. The central bank raised its benchmark range to 3.75% to 4% in September. Federal Reserve Chair Kevin Warsh said artificial intelligence could make economies that use it effectively more productive and wealthier, while warning that the path to those gains could be “very bumpy” and near-term job effects remain uncertain. At a fireside chat with International Monetary Fund Managing Director Kristalina Georgieva during the IMF-World Bank annual meetings in Bangkok Friday, Warsh described his outlook as “optimism leavened by the seriousness of purpose.” The Fed chair’s [public appearance in Bangkok had been announced in advance](). Warsh said central banks around the world had moved toward tighter monetary policy under their own mandates. He characterized the combined action as a shared effort to contain price pressures, saying there were “no free riders.” Rising energy costs tied to the Iran war and the AI investment boom were contributing to inflation and higher borrowing costs globally. Warsh gave no indication whether the Fed would raise its benchmark rate again at the Oct. 27-28 meeting. The Fed raised its target range to 3.75% to 4% in September, its first increase since 2023. ## Links in this article - [public appearance in Bangkok had been announced in advance](https://www.tokenpost.com/news/regulation/28317)