Of course, we could have different answers for different countries. I'll use Vietnam as my example.
Vietnam is currently one of the fastest growing economies in the world. If firms are going to take advantage of that growth by growing themselves (producing more products and services to be consumed by the demanding public) then they will need the right people in the right positions to performs all the necessary tasks. Without the right people, the companies might have demand but will not be able to exploit it.
If the country does not have the right human capital domestically, they will need to import it. If domestic firms do not do this then FDI firms will. Either way, people are needed to do all the work required. Alternatively, consumers could simply import everything they need but that would slow economic growth.
While automation can be used to do a lot, it cannot do everything. One of the areas where GenAI shines is in writing software. However, when you talk to programmers, they all agree that you cannot simply give a task to GenAI and it will be done perfectly. It needs a programmer to take GenAI's solution and fit it into whatever system exists.
Human capital means people and people is how things get done. As long as we need things done, we need people, and we need those people to have the right skills, knowledge, and experiences. That is why human capital is important to our nations.
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