The UAE government’s digital economy strategy aims to match rapid digitisation and the accelerated adoption of Artificial Intelligence (AI).
The ‘UAE Digital Economy Strategy’ maps out how the digital economy’s contribution to the ‘UAE’s non-oil GDP will increase from 11.7% to over 20% in the next 10 years. The Advanced Technology Research Council (ATRC) was founded in 2020 to drive innovation and create digital opportunities. The ATRC plays a key role in fostering the ‘UAE’s innovation and knowledge-based economy,’ and shaping its research and development strategy.
His Highness Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi, Chairman of Abu Dhabi Executive Council and Chairman of the Board of ATRC has endorsed plans to expand R&D research to guide future digital and technology capabilities.
“The Advanced Technology Research Council is a strategic incubator for this thriving sector, driving further growth, evaluating and supporting emerging fields of research and technology, nurturing talent, and fast-tracking breakthroughs, reinforcing Abu Dhabi’s position as a global centre for R&D.”
The progress ATRC has demonstrated is a reflection of the UAE’s commitment to ‘advancing knowledge and innovation,’ H.H. Sheikh Khaled bin Mohamed bin Zayed Al Nahyan added.
“By investing in knowledge development, which enables our people and organisations to discover and innovate, Abu Dhabi is now at the forefront of scientific enquiry,” said H.H. Sheikh Khaled bin Mohamed bin Zayed Al Nahyan.
The UAE has been focused on building digital infrastructure for years. The country’s digitisation strategy has set it on a path to becoming the world’s digital capital.
UAE’s major investments in digitisation strategy and AI capability
AI’s economic impact in the UAE could be worth $320 billion in seven years’ time, according to PwC Middle East. The UAE National Strategy 2031 outlines the transformation plan, guiding investments and major moves in digitisation and AI development. It is a roadmap on AI implementation aimed at ‘driving their economic and social frameworks.’
UAE National Strategy 2031’s key objectives:
- Build a reputation as an AI destination
- Increase the UAE competitive assets in priority sectors through deployment of AI
- Develop a fertile ecosystem for AI.
- Adopt AI across customer services to improve lives and government
- Attract and train talent for future jobs enabled by AI
- Bring world-leading research capability to work with target industries
- Provide the data and supporting infrastructure essential to become a test bed for AI.
- Ensure strong governance and effective regulation
AI is expected to contribute a 20% – 34% annual growth across the region based on the PwC Middle East data. In relative terms, AI is forecasted to contribute 14% of the UAE GDP in 2030, significantly impacting the UAE in the coming years.
What is the impact of UAE digitisation strategy on government activities?
The overall objective of the UAE digitisation strategy is to ‘embed digital aspects into overall government activities.’ The UAE Digital Government Strategy 2025 outlines a ‘user-driven’ framework designed to streamline administrative processes.
To improve efficiency, UAE built digital infrastructure connecting its government services. The digital approach enables individuals and businesses to access government services easily from the office or home.
Key e-government initiatives include:
- UAE PASS: A national digital identity platform that enables citizens, residents and UAE visitors to access online services. It facilitates secure sign in, document sharing, verification and enables digital signatures.
- The eFiling System: A centralised platform enabling lawyers and individuals to file cases electronically and access judgements issued. It verifies claims, ensures data accuracy and validates submitted documents. It allows payments such as registration fees, records and sends receipts to users. The eFiling system has helped enhance legal procedures by reducing paperwork and ensuring data accuracy.
- The Case Management System (CMS): Optimised for electronic document filing to reduce delays in civil court cases.
Dubai evolving as a global eCommerce hub
In 2019, the Dubai Executive Council launched the Dubai eCommerce strategy, aiming at solidifying the emirate’s position as a hub for global ecommerce by reducing business operation costs (including cost of storage, customs fees, VAT and transportation) by 20%.
UAE’s digital transformation is key to the accelerated growth of eCommerce, according to His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai.
“The UAE in general, and Dubai in particular, tops the list of the fastest growing electronic markets in the Middle East and North Africa region thanks to the smart government initiatives and programmes that adopted digital transformation.”
“It managed to boost investors’ confidence in the sector and offer opportunities of growth and development.”
“Dubai is a platform for major global e-commerce firms, thanks to the conducive business environment and flexibility of investment, in addition to the integration between the government and private sector, as well as its logistics and strategic location that facilitate international trade,” said H.H Sheikh Mohammed bin Rashid Al Maktoum.
Keeping up with UAE’s legal market transformation
Rapid economic transformation presents a range of market opportunities and risks for corporations and their legal advisors.
With the transforming legal market in the UAE the complexity of navigating new regulations to ensure compliance has increased. For the first time, lawyers in the Middle East will gain access to comprehensive and maintained Practical Law content for the region.
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The content will be written by a combination of local Middle Eastern legal experts, our Global editorial team of leading local law firm contributors. Practical Law is a dynamic toolset which includes our next generation of AI, data and visualisation tools for deeper insights. Lawyers will have the resources they need to advise clients effectively across the Gulf and rest of world.
