Beirut, July 17, 2025 – Just as artificial intelligence (AI) rapidly reshapes the world's landscape, it poses many complex challenges that require urgent attention. Ethical dilemmas, data governance concerns, algorithm bias, and the risks of exacerbating existing inequality are all intensifying as AI technology evolves. These risks highlight the important need for a robust regulatory framework and comprehensive policymaking to ensure that AI development is fair and responsible.
In this paradigm shift, the United Nations Economic and Social Commission in West Asia (ESCWA) published a report on “Arab Regional Artificial Intelligence Futures,” examining the transformational power of AI and its potential to revolutionize key sectors such as healthcare, education and government services, and examining the widespread impact of the region throughout 2040.
The world is accelerating the adoption of AI at an unprecedented pace. Since 2022, the Arab region has steadily advanced its AI capabilities that allow it tolerate AI capabilities, even mobile phone and internet adoption rates. AI is projected to replace roughly 83 million jobs worldwide, but it is expected to create new jobs for 69 million.
“The pace of AI progress leaves no room for delay,” said Rola Dashti, Executive Director, Escwa. “Arab leaders must take decisive action to unlock their transformational powers while reducing the complex risks they implement.”
The report reveals that by the end of 2024, 35% of global businesses had integrated AI technology into their businesses, and an additional 42% were considering AI for future implementation. Additionally, more than half of companies with over 5,000 employees are already using AI. Additionally, over 90% of government organizations surveyed worldwide use or survey AI.
According to the report, AI is restructuring the labor market. Skill gaps remain the most important barrier to business transformation, with 63% of employers identifying this as the main challenge between 2025 and 2030. In response, 85% of employers plan to invest in the growing workforce, while 70% intend to hire talent with new skills.
In the Arab region, AI is seen as a driver of innovation and sustainable development. This report explores the pathways for further adopting it, namely, for optimizing partnerships between AI technology and local priorities. Investing in AI services rooted in the language and culture of the Arab region. Or accelerate the application of AI to specific Sustainable Development Goals (SDG) targets.
“This report provides a timely roadmap that ensures that AI will be a catalyst for comprehensive, equitable and sustainable development in line with the region's unique aspirations and priorities,” Dashti added.
This report calls for the development and adoption of a unified local AI governance framework that addresses privacy, safety and ethical concerns. Diversification of AI partnerships, namely with the Global South. Establishing regional job skills programs that utilize AI tools. It also promotes data sharing across regions on open source platforms to promote AI innovation to advance SDGs.
We also conclude by highlighting the need for a positive, interdisciplinary approach to AI policies that take into account the long-term and multi-generational implications of this technological change beyond the short term.
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