Dubai, UAE – The International Data Corporation (IDC) has forecasted that the Middle East will spend $3 billion on AI in 2023, with this figure expected to more than double to $6.4 billion by 2026. CEOs in the region are recognizing the significance of AI for their businesses, with over 70% investing in AI technologies, the IDC found.
A recent PwC report highlights the potential for AI to disrupt markets and create innovative services and business models in the Middle East. The UAE is projected to experience the largest impact of AI, accounting for about 14 percent of its 2030 GDP. The report estimates that the Middle East could gain up to $320 billion from AI advancements, with Saudi Arabia among the economies benefiting the most.
Saudi Arabia is utilizing Blockchain technology to create a simplified way to finance small and medium enterprises, while Dubai is emerging as a global leader in Blockchain adoption. The city aims to become the “Blockchain capital of the world” by digitizing government documents, exemplifying the region’s commitment to embracing this transformative technology in various sectors.
The adoption of AI has significantly improved data analysis, enabling swift processing of vast financial data, leading to better decision-making and risk assessment. Automated trading algorithms execute trades based on market trends and patterns, while AI aids in risk management by identifying and mitigating potential risks through data analysis.
Meanwhile, Blockchain technology is enhancing security in financial markets, ensuring safe and transparent transactions, reducing fraud, and fostering trust in regional financial systems. The technology streamlines financial processes, such as settlements and record-keeping, driving efficiency and lowering costs.
“While the specific investment capital dedicated to AI and Blockchain in this part of the world is not clear yet, their projected impact and the region’s advancements indicate a growing interest and investment in such transformative technologies, which contributes to reshaping the financial landscape,” Ritu Singh, Regional Director of Stone X Group Inc. said.
In Dubai, FOREX.com, a leading trading company and part of StoneX Group Inc., has already embraced AI technologies. They offer customers AI-based Performance Analytics tools and advanced Risk Management Performance Analytics solutions.