DUBAI, UAE — MENA residents’ satisfaction and expectations about how services can and should be delivered have been radically altered due to the COVID-19 pandemic, which has sped up the adoption of digitally enabled services and innovative solutions.
MENA respondents trust online services
According to a study by Callsign, for every percentage point rise in digital trust, GDP per capita increases by almost US$3,000.
Over 56 percent of people who live in the Middle East and North Africa believe that digital and online services can be trusted.
However, when asked about the elements that harm digital trust, 21.1 percent of MENA customers responded that being a victim of online fraud has made them skeptical about online services.
Additional issues, such as personal experience with data breaches, were cited by 12.8 percent of MENA respondents as having a negative impact on trust in online services.
A further 15 percent of MENA consumers say online, and digital services lack transparency, and 16.1 percent expressed concern that they do not always know how to utilize online and digital services responsibly, resulting in mistrust.
Fighting Digital Crimes
In the MENA region, 36 percent of consumers attribute positive movements in their digital trust to good experiences with online and digital businesses, the highest shares across all markets.
Furthermore, 54 percent of global survey respondents believe governments should improve online safety.
To this aim, 77 percent of respondents said they would back the establishment of a digital identification system controlled by an impartial agency to regulate related data and processes.
Consumers are more likely to put their faith in financial institutions when it comes to setting up and maintaining such a system.
Nearly half (47 percent) of respondents said they often anticipate using a digital identity system during the following year.
Callsign’s study stated that the digital economy will expand from $14.5 trillion in 2021 to $20.8 trillion in 2025, and the cost of cybercrime is projected to increase from $6 trillion to $10.5 trillion.
Therefore, enterprises and governments must address digital identity as a starting point for leveraging digital trust.
Trust in the digital realm is correlated with general society trust, which in turn fuels economic growth, as a conclusion of Callsign’s research.
This is why companies need to put resources into establishing digital trust.
Considering the increasing expectations of today’s consumers for completely worry-free, private, and morally sound digital interactions, trust must be embedded into every aspect of the digital world.
According to the study, the provision of secure digital identities is predicted to come from the private sector, primarily banks and financial services firms.
At the same time, governments are projected to establish safe digital worlds.
Because of this, these organizations must collaborate to provide secure and private digital identities that can foster confidence and preserve individuals’ personal information.
Future Investments
Increased interest and spending on technological infrastructure, especially artificial intelligence, as part of digital transformation efforts, is in line with the global trend toward digitization application; predictions put global spending on artificial intelligence at over $50 billion in 2020.
Spending on AI is expected to increase steadily over the next few years, reaching $110 billion by 2024, according to a study published by International Data Consultants.
Between 2019 and 2024, worldwide investment in AI would increase by 20 percent annually.
The number of linked devices to the Internet of Things has already surpassed $6 billion, and it is predicted to reach $27 billion by 2025, which means that the returns on investment in this technology will reach $13 trillion in 2025.