The United Arab Emirates is standing at an economic transformation propelled by Artificial Intelligence investments in the country. In fact, it is expected to be highly driven at the front line by private sector engagement. Newer estimates suggest that AI will contribute another Dh335 billion ($91.28 billion) to the UAE’s economy by 2031, speakers said at the one-day “Artificial Intelligence (AI) For All: Empowering Responsible Investment” event, held at Dubai Chambers head office and hosted by Dubai Stockbrokers and Investment Services Group-DSIG.
UAE’s Ambitious AI Vision
The UAE has always been at the forefront of adopting new technologies, and AI is no different. His Excellency Omar Sultan Al Olama, Minister of State in the UAE for Artificial Intelligence, Digital Economy, and Applications of Remote Work, underlined the country’s strategic goals regarding the event: “The UAE is working to reach the front lines of AI in the world in 2031 within the framework of our Centennial 2071 Vision,” commented H.E. “This project will open new opportunities and further development in more spheres.
This ambitious vision also falls within the overall strategy of the UAE to continue diversifying its economy to make it less reliant on oil revenues while positioning itself as a center for innovation and technology. In doing so, the UAE is not only well-placing itself to meet the future shifts in the global economy but also setting a benchmark for many nations in the region.
Growing Role of the Private Sector
In other words, their contribution to driving AI investments is critical in realizing the ambitious goals. Sameera Fernandes, Chairwoman of DSIG and Chief Sustainability Officer of Century Financial, emphasized this during her address at the conference. “Increased investment in AI will not only make the private sector smarter but also ensure long-term sustainability,” Fernandes said.
The total global corporate investment in AI from 2013 through 2022 reached $934.2 billion, including a record $276.1 billion in 2021. Since then, generative AI technologies like ChatGPT have taken the world by storm with business and consumer imaginations alike. As AI gets into the next phase of its life cycle, its adoption across industries will only continue to accelerate and become a driver for productivity, efficiency, and economic growth.
AI’s Economic Potential
By 2026, AI technologies are expected to revolutionize industries with boundless gains in productivity and efficiency. Recent reports show that by 2026, over 60% of generative AI solutions will have multimodal AI models. If the prediction turns out correct, this might drive up further the global AI market, which is currently estimated at 142.3 billion dollars in 2023 and will reach 200 billion by 2025.
While others might stress the economic returns, the UAE’s way is that of responsible and sustainable AI investments. “As we traverse the Fourth Industrial Revolution, it’s important to invest in digital assets and businesses so we can hold our leadership position in innovation and transformation,” said Fernandes. She further emphasized the building of digital skills for maintaining the changing face of the economy, underlining that human capital was equally important as technological advancement in this journey.
Global AI Investment Landscape
While much of this progress is being pursued in AI by the UAE itself, it is only part of the greater worldwide trend where major world economies heavily invest in AI technologies. Over the past five years, leaders have emerged with the United States committing $328.5 billion to this technology and China $195 billion. The United Kingdom is next, having placed $25.5 billion in AI investments.
These investments are not only improving technological capabilities but also likely to give a huge fillip to economic productivity. It is estimated that AI may contribute up to 4% of GDP in leading economies, thus making it the leading driver of future growth.
The call is for responsible investment in:
The continuous evolution of AI in the UAE has called for much attention on how responsible an investment practice it is. This conference, therefore, highlighted how AI investments had to be disposed in line with long-term sustainability goals, such that economic growth would not take a toll on ethics and social well-being.
Responsible investment holds the key to keeping leadership in AI and digital transformation-something that is not just about financial commitment but also commitments towards ethical consideration, data privacy, and building a regulatory framework that promotes innovation while protecting public interest,” Fernandes said.
Conclusion
This forward-looking approach of the UAE to economic development testifies to its move to become one of the leading countries globally in AI. And it’s here that the private sector’s involvement is paramount to realize this dream, as this single intervention of AI is poised to add Dh335 billion to the economy alone by 2031.
While the country is moving ahead with investments in AI, it is setting up a platform for a future where technology and sustainability go hand in glove. The UAE, therefore, contributes not just to improving economic prospects but also to enhancing the global discussion regarding the ethical and sustainable development of AI technologies by fostering a responsible investment culture.
Living in a world highly characterized by technological changes, the UAE leads the way in AI investment and thus acts as an inspiration for other nations on how vision, commitment coupled with responsible practices, can make the future both innovative and sustainable.