The UAE is at the forefront of digital transformation and financial inclusion in the Middle East, leveraging the remarkable capabilities of artificial intelligence (AI) across various economic sectors, particularly in finance and banking. This commitment enhances economic growth and prosperity while reinforcing its prominent status in the global financial landscape.
According to official statistics, the UAE has emerged as a leading nation in the development of technology and AI-driven solutions, fostering a supportive environment that accelerates digital transformation. The country aims to boost the digital economy’s contribution to GDP to 20 percent by 2031.
Global recognition in finance
CEOs from international firms in the financial sector have informed the Emirates News Agency (WAM) that the UAE is a top contender in implementing technology and artificial intelligence within its financial systems and stock markets.
Read more: UAE’s AI firm G42 to reveal ‘Intelligence Grid’ at GITEX 2024
Building trust in financial systems
They emphasized the UAE’s continuous efforts to bolster trust in its financial framework and create a secure investment climate through integrating national initiatives and robust governance structures, ensuring the safe and effective deployment of AI technologies.
Keeping pace with fintech advancements
Officials noted that the UAE has adeptly kept pace with significant advancements in the global fintech arena. The nation’s strong culture of innovation has solidified its position as a global technology and AI hub, with its markets and financial centers leading many initiatives that significantly support the global economy.
Enhancing market efficiency
Damian Hitchen, CEO of Saxo Bank MENA, remarked on the UAE’s success in utilizing technology and artificial intelligence to enhance the efficiency, transparency, and accessibility of its financial markets for investors.
Reducing human error
Additionally, Hitchen mentioned that the UAE seeks to minimize human error and improve market liquidity through the automation of operations, utilizing advanced algorithms and AI-powered systems to develop sophisticated trading strategies that capitalize on market opportunities and mitigate risks.
Collaboration with global giants
Mohammad Ghosheh, CEO of Noor Capital, highlighted that the UAE’s financial sector has effectively integrated artificial intelligence to offer innovative services to investors, driven by a comprehensive national strategy aimed at positioning the UAE as a global leader in AI by 2031.
He added that the UAE collaborates with major international companies like Microsoft, Google, and OpenAI, alongside prominent national firms such as G42, to enhance its leadership in AI technology development.
Advancements in customer support
Ghosheh pointed out that UAE banks are now employing chatbots and virtual assistants for prompt, accurate 24/7 support, while AI is also being utilized to analyze real-time data for fraud prevention and risk management, which boosts customer confidence in digital banking.
Focus on data security
Moreover, Ghosheh anticipates significant investments in data security within the financial sector, leveraging technologies like AI and blockchain to enhance privacy and protection. He also noted that 2025 will likely see advanced developments in currency markets, including the broader adoption of quantum computing and the rise of decentralized finance platforms, enhancing currency trading efficiency in the UAE.
Sustaining financial hub status
Marc Pussard, Head of Risk at APM Capital, stated that the UAE has established itself as a key financial hub, particularly in trading. He projected a compound annual growth rate of 5.5 percent for the financial sector, driven by regulatory reforms and accelerated digital transformation.
Transformative technologies
Pussard noted that modern technologies such as AI and blockchain have fundamentally transformed the UAE’s financial landscape, streamlining operations and enhancing transparency. Currently, AI-driven algorithms account for 80 percent of global currency trading transactions, allowing for rapid data analysis and swift decision-making.
Commitment to fintech innovation
Razan Hilal, Market analyst at FOREX.com, explained that the UAE’s dedication to fintech innovation and advanced regulatory frameworks has positioned it at the vanguard of technological changes worldwide, strengthening its role in the future of global financial markets.
Positioning for future developments
Hilal asserted that the UAE is well-prepared for swift advancements in AI, blockchain, and fintech innovations, qualifying it to lead this worldwide transformation. Dubai plays a significant role in this arena, thanks to its economic agenda “D33” and its Artificial Intelligence Strategy 2031.
Investing in smart city initiatives
With substantial investments in smart city initiatives and a robust regulatory framework, Dubai is set to evolve into a global hub for cutting-edge technologies such as AI, decentralized finance, and digital currencies.
For more news on technology, click here.
