AI Becomes New Cash Cow for Dubai
From Dubai to DubAI? At least the DIFC (Dubai International Financial Centre) is attempting the balancing act. According to DIFC Governor, «Arabia’s Wall Street» is increasingly relying on artificial intelligence (AI) to deliver its services. Still, the emirate hasn't entirely shaken off the bureaucracy of the past—at least not yet.
Written by Gérard Al-Fil, Dubai
Speaking at the «Dubai AI Festival,» DIFC Governor Essa Kazim stated that AI already handles 26 different types of requests—or 15 percent of all inquiries—from office tenants and businesses based in the DIFC. He also revealed that the Dubai AI Campus, located within the DIFC, «has attracted more than 180 AI startups in just one year.»
The DIFC, a free financial zone at the heart of the Gulf metropolis where 44,000 people work, operates under a tax-free regime, uses the US dollar as its currency and conducts business in English.
Big Growth
«We expect the AI industry in Dubai to grow from $3.5 billion last year to $46 billion by 2030 – an annual growth rate of 44 percent,» the governor said optimistically. «The use of learning robots and AI software is making financial services smarter, faster, and more inclusive.»
Transforming the Oil State
The Gulf Emirates’ aggressive push into AI isn’t driven solely by economic ambition; there are pressing domestic reasons as well. Two-thirds of Emirati citizens are still employed in the public sector or by state-owned companies. But according to the International Monetary Fund (IMF), this luxury is not financially sustainable in the long term, as renewable energy is gradually displacing black gold (oil).
Parallel Worlds
Nevertheless, the paper bank check remains a popular payment method in Dubai, used to ensure debtors – such as tenants or car leaseholders – settle their bills on time. And in Dubai’s gold souk, cash remains the preferred method of payment.
Such «restovers» stand in stark contrast to the growing number of businesses in «Fly-Buy-Dubai» that, like property developer Emaar or the luxury hotel Palazzo Versace, already accept Bitcoin and other cryptocurrencies. Meanwhile, the ongoing exhibition «FINANCE - NOTHINGNESS», designed by Chinese artist Qinglu Lui at Dubai’s Samia Art Gallery, goes a step further—it only accepts cryptocurrency as payment for art purchases.
