LONDON: Artificial intelligence is set to swell the GCC and Egypt’s economies to the tune of $320 billion by 2030, according to a report.
Globally, the economic uplift could be to the magnitude of $15.7 trillion, more than the current output of China and India combined, according to a report by professional services firm PwC.
Within that increase, $6.6 trillion is likely to come from increased productivity, while $9.1 trillion is likely to come from benefits to consumers.
Artificial intelligence (AI) is a collective term for computer systems that can sense their environment, think, learn, and take action in response to what they are sensing and their objectives. AI is rapidly evolving, with current technology including autopilots, digital assistants and chatbots.
In the economies of the GCC and Egypt, the UAE and Saudi Arabia are expected to particularly benefit from the rise of AI, with PwC predicting it could contribute to almost 14 percent of UAE GDP by 2030. This is followed by KSA at 12.4 percent, the “GCC4” (Bahrain, Kuwait, Oman and Qatar) at 8.2 percent, and lastly by Egypt at 7.7 percent.
The report reveals there are untapped opportunities that could increase the impact of AI on the Middle East’s economies, if governments continue to push the boundaries of innovation and the implementation of AI across businesses and sectors between now and 2030.
“The future strategy of governments in the region, particularly in the UAE and KSA, indicate a strong push toward the development of AI technologies, for example Vision 2030 in KSA and the government’s AI Strategy in the UAE,” Richard Boxshall, senior economist at PwC Middle East, told Arab News.
The first wave of the AI revolution consists of largely known technological innovations that are either adoption-ready or are currently being fine-tuned for broader implementation. Beyond 2030, the scope of AI impacting both the economy and society overall will almost certainly increase, so it is important for the Middle East to be strategically placed in order to provide a springboard for the future, PwC said in a statement.
Fears of AI taking over human jobs have been voiced regularly but according to PwC this should not be a concern: “It is likely that in the coming years as AI is developed we will see a shift in the types of jobs performed by humans, but not necessarily a reduction in the number of jobs,” Boxshall said.
In the UAE, AI is at the forefront of the government’s strategic plans, with government representatives at the recent World Economic Forum touting how the country is embracing the technology.
At the sectoral level, the most significant gains in absolute terms are expected in the construction and manufacturing sectors, which are expected to account for almost a third of the entire benefits to the Middle East region, equivalent to almost $100 billion by 2030.
Artificial Intelligence could add $320bn to GCC and Egypt economies by 2030: report
Artificial Intelligence could add $320bn to GCC and Egypt economies by 2030: report
Saudi Arabia’s NDF unveils strategic partners for MOMENTUM 2025 conference
RIYADH: Saudi Arabia’s National Development Fund has unveiled the lineup of strategic partners for the Development Finance Conference MOMENTUM 2025, as the Kingdom accelerates efforts to build a more integrated development-finance ecosystem.
The conference, scheduled for Dec. 9–11 at the King Abdulaziz International Conference Center in Riyadh, will bring together policymakers, lenders and global development institutions as the Kingdom seeks to expand financing channels for key sectors.
Saudi National Bank and Arab National Bank are named Main Partners, while Riyad Bank will serve as Banking Partner, NDF said in a press release.
Bank AlJazira and Saudi Awwal Bank join as Enabling Partners, and public-sector participants include Invest Saudi, the Made in Saudi Program, and the Saudi Conventions and Exhibitions General Authority.
Riyadh Municipality also joins the list as the host city partner, while Saudi Post is the logistics partner for the conference.
“Collectively, these partnerships advance the conference’s vision of fostering collaboration among public and private sectors, contributing to Saudi Vision 2030 objectives,” the release said.
Organized by NDF, this year’s conference is convened under the theme “Leading Development Transformation.”
MOMENTUM 2025 reflects the NDF’s central role as a principal enabler of development in the Kingdom and as a strategic driver of the national development finance system through its 12 affiliated development funds and banks.
“Through this conference, NDF aims to align efforts, amplify impact, enhance coordination and integration, and build meaningful partnerships with leaders across the public and private sectors. Together, these efforts are intended to ensure sustainable growth and empower strategic sectors to deliver on national and global development goals,” the release added.
The program will feature more than 100 speakers from over 120 local and international entities, further underscoring the conference’s role as a national forum supporting the leadership’s vision of building a dynamic financing ecosystem that empowers key sectors.
Several princes, ministers, senior officials, CEOs, global leaders, development experts, and economists are scheduled to attend the conference.
The event will spotlight the contribution of the private sector and small and medium-sized enterprises in elevating the Kingdom’s economic growth, generating jobs, and boosting competitiveness.
