DUBAI, Oct. 22 (Xinhua) -- Artificial intelligence (AI) adoption could boost annual economic growth in the Middle East and Central Asia by 0.1 to 0.6 percentage points over the medium term, depending on countries' digital readiness and their ability to integrate the technology into productive activities, the International Monetary Fund (IMF) said Thursday.
The assessment was presented at a joint press conference by the Dubai International Financial Center (DIFC) and the IMF in Dubai, highlighting findings from the fund's October Regional Economic Outlook for the Middle East and Central Asia.
The adoption of AI offers economies in the Middle East and Central Asia a unique opportunity to raise productivity and strengthen medium-term growth, the report said, adding that several Gulf Cooperation Council countries, including the United Arab Emirates (UAE), are making substantial investments to position themselves as global AI hubs.
The IMF raised its forecast for the UAE's economic growth in 2027 to 7.7 percent, up 2.4 percentage points from its April projection, with AI investment estimated to add around 0.5 percentage points to the country's annual economic growth.
The fund stressed the importance of continued investment in digital infrastructure, education, skills development and innovation to improve productivity and support economic diversification, according to the report.
In tandem with its policy guidance, the IMF noted that it had provided approximately 48 billion U.S. dollars in financing to countries in the Middle East and Central Asia since 2020 and implemented 437 technical assistance and capacity development projects across 31 countries during fiscal year 2026.
