The adoption of AI in cloud computing and electric vehicles is expected to accelerate, leading to a 15% increase in the 12-month earnings estimates for EM tech stocks, outpacing the 6% growth seen in EM stocks overall.

Emerging-market funds are increasingly investing in AI stocks, fueled by the success of Chinese AI developer DeepSeek and Asian semiconductor companies, which have driven this year's rally in EM stocks.

Experts believe AI will remain a vital sector within emerging markets, offering secular growth and boosting earnings and market performance in the coming years.