UAE among top emerging economies in AI readiness: report

Gulf Business

23-04-2025

Image: Getty Images/ For illustrative purposes
The UAE ranks among the top emerging global economies in artificial intelligence (AI) readiness, according to a new report from Boston Consulting Group (BCG), presented during the Dubai AI Assembly at Dubai AI Week.
The study, titled
GCC AI Pulse: Mapping the Region's Readiness for an AI-Driven Future
, is based on BCG's 2024 AI Maturity Matrix, which categorises countries into four archetypes: AI Emergents, Practitioners, Contenders, and Pioneers.
The UAE has been placed in the 'AI Contender' category, alongside 31 other economies, including Saudi Arabia.
Other Gulf nations — Qatar, Kuwait, Oman and Bahrain — are classified as AI Practitioners.
While no GCC country has yet reached the 'AI Pioneer' category, which includes the US, UK and China, the report highlights the region's potential for advancement.
'The UAE is poised to be a regional leader among global AI Pioneers by capitalising on its established digital infrastructure and formulating strategic initiatives that support AI integration into its economic visions,' said Dr Akram Awad, MD and partner at BCG.
Strategic vision, infrastructure drive UAE's AI push
The UAE has emerged as a first mover in AI governance, having launched a National AI Strategy in 2017 and appointing the world's first Minister of AI.
According to
The UAE currently hosts 35 data centres and has the highest public cloud expenditure per employee in the GCC at $228.
It also boasts nearly 7,000 AI specialists and around 700 AI-related academic publications.
However, BCG says expanding the domestic talent pool and fostering globally recognised innovation remains critical to achieving AI Pioneer status.
Investment momentum and global ambitions
The report also points to elevated private-sector investment in the UAE, which already exceeds the average within its AI Contender peer group. It highlights the $100bn MGX fund as a reflection of the country's global AI ambitions.
'Advancing private sector engagement and investment, improving R&D outcomes to global innovation levels, and expanding the homegrown AI talent pool will further solidify the UAE's position as a global AI leader,' said Rami Mourtada, partner and director at BCG.
GCC region accelerates toward AI maturity
Saudi Arabia, another AI Contender, has made strides through regulatory leadership and the work of the Saudi Data and AI Authority (SDAIA), with a target to become one of the top 15 AI nations by 2030.
Qatar, Oman, Bahrain and Kuwait are also progressing through national strategies, modern infrastructure investments and upskilling initiatives.
'The UAE stands out as a beacon of advanced leadership and execution in AI—but what makes this moment remarkable is the broader wave of transformation across the GCC,' said Dr Lars Littig, MD and partner at BCG.
Pathways to progress
BCG's ASPIRE framework, central to the report, offers a strategic blueprint for governments to build and scale AI capabilities.
It stresses the need for realigning governance structures with evolving ethics frameworks, expanding research and academia-industry collaboration, and ensuring global competitiveness through international talent acquisition and policy alignment.
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