The UAE ranks among the top emerging global economies in AI readiness, according to a report titled GCC AI Pulse: Mapping the Region’s Readiness for an AI-Driven Future by Boston Consulting Group (BCG). The report, based on BCG’s 2024 AI Maturity Matrix, was a focal point at the Dubai AI Assembly during the Dubai AI Week 2025.
BCG’s inaugural AI Maturity Matrix revealed that the UAE has earned the designation of AI Contender alongside 31 economies worldwide, including Saudi Arabia.
UAE poised to become global AI pioneer
The maturity matrix identified four economic archetypes based on their AI readiness, ranging from AI Emergents at the low end of the scale, followed by Practitioners, then Contenders, and Pioneers at the high end. Other GCC countries, including Qatar, Kuwait, Oman and Bahrain, have ranked in the AI Practitioners’ category.
With GCC countries yet to achieve the AI Pioneer status, which includes the likes of the U.S., U.K. and China, the report highlights substantial opportunities for advancing AI readiness and leadership in the region, with the UAE making notable progress on that path.
“The UAE is poised to be a regional leader amongst other global AI Pioneers by capitalizing on its established digital infrastructure and formulating strategic initiatives that support AI integration into its economic visions. Key indicators collectively illustrate a forward-thinking approach to AI by the UAE and outline clear pathways for improvement,” stated Dr. Akram Awad, managing director and partner at BCG.
Key advancements driving the UAE’s AI growth
As a first-mover on AI governance and the leading nation globally in sovereign investment, the UAE mirrors many benchmarks set by established AI Pioneers, reflecting its success at integrating AI technologies at a national scale. The country’s vision, reflected in robust policy initiatives such as the National AI Strategy 2031 and the appointment of the world’s first AI Minister in 2017, demonstrates a strong direction towards AI-centric economic and social value, BCG noted.
The UAE is also among the regional leaders in AI-related research, with approximately 700 AI-related publications.
While the UAE surpasses the average investment level within its peer group, focusing on mobilizing further private sector capital and deeper involvement in AI ventures would allow the UAE to be positioned at the AI Pioneer level.
The country has also demonstrated global ambition through significant foreign investments, including the $100 billion MGX fund, which reflects its strategic commitment to shaping the future of AI beyond its borders.
On the infrastructure front, the UAE is also well-positioned, with 35 data centers and the highest public cloud expenditure per employee in the GCC at $228, creating a robust foundation for AI technologies and platforms to thrive.
“Our research findings reveal that 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. These imperatives will accelerate the UAE’s journey towards a clear status as an AI Pioneer, multiplying economic and social benefits at the national level,” said Rami Mourtada, partner and director at BCG.
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GCC pushes toward AI maturity
Beyond the UAE, the broader GCC region is witnessing an accelerated push toward AI maturity. Saudi Arabia, also an AI Contender, has made major strides with a robust digital foundation, regulatory leadership through the Saudi Data and AI Authority (SDAIA), and the ambitious goal to be among the top 15 AI nations by 2030.
Meanwhile, Qatar and Oman are building modern infrastructure and upskilling initiatives like Qatar’s national AI strategy and Oman’s Makeen Nanodegree program. Meanwhile, Bahrain and Kuwait are laying the groundwork for AI readiness through fintech-driven ecosystems and foundational strategies, respectively.
“We’re witnessing a region-wide momentum that, if harnessed collectively, has the potential to position the GCC as one of the most future-ready clusters for AI innovation globally. This includes the growing trend of countries leveraging AI in sector-specific ways—for instance, applying AI to optimize oil production or enhance supply chains—enabling practitioners to deliver real-world impact while advancing their AI maturity,” noted Dr. Lars Littig, managing director and partner at BCG.
