Gartner highlights key AI & innovation trends for APAC governments

Gartner has outlined the top technology trends expected to influence government approaches to citizen services and artificial intelligence (AI) in the Asia-Pacific (APAC) region for 2025.

The research identifies three key trends: the implementation of AI agents for citizen service delivery, the use of digital innovation labs with controlled data environments, and a governance-driven approach to AI adoption across government operations.

AI agents

AI agents are emerging as a tool for governments to enhance digital service delivery. According to Gartner, these agents operate autonomously or semi-autonomously, using AI to sense, decide, act and achieve goals within digital or physical environments. The initial focus for these agents in APAC governments will be on processing applications and entitlements against relevant regulations, such as for building applications. There is growing interest in deploying AI agents to interpret legislation and regulatory frameworks.

"The use and orchestration of multiple AI agents will expand as the technology matures and governments grow more confident in building, buying, and governing them," said Dean Lacheca, VP Analyst at Gartner. "Transparency and public trust will ultimately shape adoption, so it's important to establish clear governance, ethical guardrails and accountability for autonomy, potential failure, security and data privacy."

This emphasis on governance and public trust is seen as critical to broader acceptance of AI agent technology, ensuring systems are accountable while managing security and data privacy concerns.

Innovation labs

To address the challenges in government innovation posed by data restrictions and procurement policies, a growing number of APAC governments are establishing digital innovation labs with data "sandboxes." These controlled environments enable human-centred innovation using a blend of open, synthetic, and protected data. Such labs protect personal and sensitive information while allowing for experimentation and development of new services.

Examples highlighted by Gartner include the Maritime and Port Authority of Singapore's lab for technology testing, and Taiwan's digital identity wallet sandbox program. In Australia, similar innovation spaces are being developed in partnership with educational institutions at the federal and state government levels.

Gartner recommends that government CIOs establish a clear rationale for investing in these labs by validating the essential outcomes. This assessment can help determine whether investment should be across the entire government or focused on a specific department or agency's mission.

AI governance

As governments adopt AI to improve efficiency and citizen experience, Gartner notes the rising importance of establishing frameworks for AI governance. These frameworks are intended to balance risk, cost, and value while maintaining operational oversight.

Gartner forecasts that by 2028, at least 80% of governments will have their adoption and ongoing monitoring of AI independently audited. This is part of an effort to ensure responsible use, cost control, and alignment with regulatory requirements.

"Governments must have oversight over AI technologies to identify and mitigate risks, and ensure alignment with regulatory requirements and governance standards," said Lacheca. "As many APAC governments pursue sovereign AI agendas, these guardrails will ensure future AI adoption remains transparent, accountable and adaptable to change."

According to Gartner, the development of sovereign AI agendas across APAC reflects both regulatory demands and a desire to maintain public confidence, ensuring that future AI use in citizen services is transparent and adaptable.

Dean Lacheca, who is based in Brisbane, is available for further comment on these trends and their implications for the Australian market, including recommendations from the Gartner report on government trends in the region.

Gartner's analysis provides insights for government CIOs making investment and strategy decisions related to service delivery innovation and AI agenda setting over the next year.