The New Zealand government has launched a new AI Advisory Pilot program aimed at helping small and medium-sized enterprises (SMEs) harness the power of artificial intelligence to enhance productivity and foster growth. Announced by Small Business and Manufacturing Minister Chris Penk, the initiative provides practical, co-funded support to demystify AI adoption for businesses.
Key Takeaways
- Co-funding of up to 50%, capped at NZ$15,000, is available for developing tailored AI plans.
- The pilot will be delivered through the established Regional Business Partner Network.
- Participants will receive guidance on practical AI implementation, privacy, data management, and responsible use.
- The program aims to test the effectiveness of expert support in accelerating digital adoption and productivity gains.
Empowering Small Businesses with AI
Minister Chris Penk highlighted that while many small business owners recognise the potential of AI to streamline operations and free up time, they often lack the knowledge to start or use these tools safely and effectively. "Small business owners tell me they want to use AI to clear space in their busy schedules, so they can focus on the parts of their business they enjoy, but many are unsure where to start or how to use these tools in a safe and practical way," Penk stated.
The AI Advisory Pilot is designed to bridge this gap by offering practical support from trusted experts. Eligible businesses can receive co-funding to develop a customised AI plan, with guidance from specialists to implement it. This initiative aims to boost productivity and ensure competitiveness in a rapidly evolving technological landscape.
Economic Potential and Government Investment
Dr Shane Reti, Minister of Science, Innovation and Technology, underscored the significant economic potential of AI for New Zealand. He noted that the country’s Strategy for Artificial Intelligence estimates that generative AI alone could contribute NZ$76 billion to the economy by 2038, representing 15% of the national GDP. To support this growth, the government is investing up to NZ$70 million over seven years through the New Zealand Institute for Advanced Technology to foster AI research, develop expertise, and enhance New Zealand’s competitive edge.
Pilot Program Details
The AI Advisory Pilot will run for at least six months, commencing with participant invitations from late January. It will be delivered through the Regional Business Partner Network, a well-established network of 15 regional service providers that already assists thousands of SMEs with management skills, strategic development, and innovation funding. The pilot is allocated an initial NZ$765,000 from existing MBIE appropriations and is expected to involve a minimum of 51 SMEs. The program’s duration is set from 19 January 2026 to at least 30 June 2026.
Aligning with National AI Strategy
This pilot program aligns with New Zealand’s broader Strategy for Artificial Intelligence, which promotes the responsible and ethical adoption of AI. The strategy aims to address barriers such as limited awareness and concerns over data privacy, encouraging collaboration between government, business, and academia. By providing practical guidance and expert support, the pilot is a crucial step towards a more innovative, productive, and future-ready New Zealand economy.
Sources
- New Zealand: New AI Pilot to Boost Small Businesses Productivity, OpenGov Asia.
- NZ launches AI advisory pilot for small businesses, bizEDGE New Zealand.
- Government launches small business AI pilot programme, Reseller News.
- Government launches AI advisory pilot for small businesses, NZBusiness Magazine.
