The Arab private sector is currently facing a new phase of economic and digital transformations driven by artificial intelligence. During a recent seminar at Al-Ahram Establishment in Cairo, Dr. Nidal Abou Zaki, Managing Director of Orient Planet Group, discussed these technological shifts. He stated that the gap between companies adopting these technologies and those lagging behind will continue to widen. Consequently, businesses must prepare for rapid changes in operational environments.
According to global forecasts, the global AI market is projected to reach USD 4.8 trillion by 2033. Meanwhile, approximately 78 percent of international organizations already use these technologies in at least one business function. Dr. Abou Zaki emphasized that data has evolved into a strategic economic asset. As a result, modern organizations now compete on data ownership and analysis rather than just products.
AI Impact on the Arab Private Sector
“AI is no longer a technological luxury, it has become a direct driver of productivity, investment, and economic growth.”
Dr. Nidal Abou Zaki, Founder and Managing Director of Orient Planet Group
Notably, the Arab private sector represents a significant portion of the regional economy, employing 80 percent of workers in Egypt. Furthermore, non-oil activities contribute over 55 percent of Saudi Arabia’s GDP and 77 percent of the UAE’s GDP. These figures indicate a rising regional reliance on the digital economy. However, the transition requires a shift from technology consumption to local production.
Economic Contributions and Data Assets
The seminar highlighted that future economies will be evaluated based on their technological production capabilities. Specifically, countries that build local digital environments will attract more investments. In addition, the integration of artificial intelligence is expected to reshape regional competitiveness. This shift highlights the importance of digital readiness across both public and private entities.
Labor Market Shifts and Future Skills
Regarding employment, digital transformation is expected to impact 40 percent of global jobs. Moreover, about 44 percent of current skills will change over the next five years. Dr. Abou Zaki clarified that technology will restructure roles rather than cause complete job displacement. Consequently, there will be a higher demand for data analysis, critical thinking, and technical proficiency.
Strategic Implementation and Risk Management
However, implementing these technologies without a clear plan carries significant risks. Dr. Abou Zaki cautioned that 70 to 80 percent of projects fail to yield expected returns due to poor institutional readiness. Therefore, organizations must focus on cybersecurity, data governance, and responsible usage. Ultimately, the Arab private sector must invest in education and skills development to align with future market needs.
