World Leadership in Digital Transformation Shift in Favor of UAE in 2025
UAE Leads the Way in Digital Transformation and AI-Driven Economy
The United Arab Emirates (UAE) maintained its world-leading position in mobile internet speed from July 2024 to June 2025, recording an average download speed of 546.14 Mbps in June, as per Ookla's Speedtest Global Index. This achievement is just one of the many milestones the UAE has reached in its digital transformation journey.
In 2024, a staggering 173.7 million transactions were completed through government digital services in the UAE. This figure underscores the nation's commitment to digitalisation and the seamless integration of technology into everyday life.
The UAE's success in digital transformation and its AI-driven economy is attributed to several key factors. A human-centric digital transformation approach is at the heart of the UAE's strategy, focusing on creating personalised digital experiences that anticipate and address future user requirements.
Advanced infrastructure, including 5G connectivity, efficient cloud computing, and robust local data centers, underpins the UAE’s digital ecosystem, enabling large-scale AI deployment and innovation. The UAE invests heavily in AI education and talent development, with institutions such as Mohamed bin Zayed University of Artificial Intelligence (MBZUAI) playing a pivotal role in building a skilled workforce supporting the AI-driven economy.
Proactive policies and public-private collaboration help integrate AI and automation into key sectors such as banking, retail, healthcare, and digital finance. The UAE aims to double the digital economy’s GDP contribution by 2030, with AI projected to contribute 13.6% of GDP (around US$100 billion), aligning digital innovation with long-term economic diversification and sustainability.
The UAE's leadership in digital finance and PropTech initiatives, such as the digital dirham (a central bank digital currency) and advanced fintech and PropTech ecosystems, position the nation as a pioneer in secure, efficient financial infrastructure and smart city technologies. Over 60% of GCC organizations, including in the UAE, use AI-powered applications actively, embedding AI into core operations, demonstrating the region’s advanced AI integration across industries.
The progress in smart infrastructure and quality of life in Dubai and Abu Dhabi was highlighted in the IMD Smart City Index 2025. Dubai ranked fourth globally, while Abu Dhabi ranked fifth. The satisfaction rate for government digital services in the UAE was 91% across 1,419 services in 2024.
The UAE's digital transformation policies, such as Dubai’s 360 Services initiative, are setting global benchmarks for service integration, efficiency, and AI-driven solutions. The nation's role as a global model for innovation and sustainable growth is further cemented by its AI advancements.
In recognition of its achievements, the UAE secured first place globally in the Telecommunications Infrastructure Index of the UN E-Government Survey 2024, achieving a perfect score. The UAE topped the region in Oxford Insights' Government AI Readiness Index 2024.
The UAE's success in digital transformation and AI leadership is a testament to its long-term vision, people-first mindset, and comprehensive infrastructure. Economic projections suggest AI could contribute 13.6% to the UAE's GDP - around US$100 billion - by 2030. The nation's continued focus on innovation and sustainability positions it as a beacon for other countries seeking to emulate its digital success.
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