The Era of "AI-Powered" Saudi?

Saudi Arabia has enjoyed a fruitful year of events and initiatives intended to advance the adoption of artificial intelligence, propelling the Kingdom to the 14th position in the Global AI Index and 1st in the Arab world.

Recently, Saudi Arabia was also ranked third globally in the OECD - OCDE's AI Policy Observatory, behind the US and the UK. But how did the Kingdom rise to such heights? Let's find out.

AI’s Meteoric Rise in the Kingdom.

Saudi Arabia has shown remarkable progress. The Ministry of Communications and Information Technology of Saudi Arabia has played a pivotal role in laying the foundation for AI adoption, spearheading initiatives that integrate emerging technologies across sectors. Under the leadership of H.E. Abdullah Alswaha, MCIT has worked closely with global partners and local stakeholders to foster an environment of innovation and collaboration.

The “State of AI in Saudi Arabia” report, unveiled by Abdullah Sharaf Alghamdi, the president of the SDAIA | سدايا, detailed the Kingdom’s advancements from 2019-23 during the Global AI Summit held in Riyadh in September 2024.

The report provided a comprehensive overview of the Kingdom’s progress in AI, focusing on seven key pillars: regulations and policies, investment, infrastructure, data, talent development, research and innovation, and adoption.

It also highlighted the Saudi Data and AI Authority’s central role in driving the Kingdom’s digital transformation. According to SDAIA | سدايا’s forecasts, AI is expected to contribute SR58.8 trillion ($15.6 trillion) to the global economy by 2030 and create 98 million jobs by 2025.

I believe the rapid pace of the Kingdom’s AI adoption has come at a critical time. It is now or never. Saudi Arabia’s #Vision2030 ambition to be a globally competitive nation means that we must proactively utilize the latest technology to our advantage. Think of AI as a means to diversify the economy, another Saudi Vision 2030 ambition, or to develop globally competitive citizens.

How rapidly we advance in AI adoption will significantly impact these ambitions. That being said, I think there is a long way to go. As AI is still developing, we must be agile to shape its future, whether in governance and ethics, technical development, or its impact on human lives.

The most impressive advancement in 2024 was the Riyadh Declaration, a document announced during the 19th session of the Internet Governance Forum, hosted by Saudi Arabia and organized by the United Nations.

According to the SPA - Saudi Press Agency, the declaration focuses on AI with its inclusive, innovative, and impactful dimensions and emphasizes the need for using AI technologies to enable digital access, enhance digital knowledge, address global challenges, and unlock economic value.

Nations that embrace AI will win, and those who let fear of AI get the best of them will lose.

2024’s Key AI Milestones:

The core highlight of AI in 2024 was the "Project Transcendence", a $100 billion initiative led by the Public Investment Fund (PIF) and Google, launched to support local startups, create jobs, and build a global tech hub.

AI’s impact was also evident in sports. The Tyson Fury vs. Oleksandr Usyk match in Riyadh featured an AI-powered fourth judge, eliminating bias in scoring. Platforms like FACEIT are also leveraging AI for smarter in-game behavior tracking, improving esports experiences globally.

AI x FinTech: Disrupting the Scene?

Artificial intelligence (AI) is significantly transforming Saudi Arabia's financial services sector, aligning with the nation's #Vision2030 objectives. The Saudi Central Bank – SAMA ) has been proactive, establishing a Regulatory Sandbox in 2018 to allow fintech companies to test innovative products within a controlled environment, fostering innovation while ensuring compliance.

Local fintech firms are at the forefront of this transformation. For instance, Mozn 's compliance platform, Focal - Sanctions Screening Solution, utilizes AI to analyze customer and transaction data in real time, effectively identifying potential fraud and ensuring regulatory adherence. The government's commitment is further evidenced by the inclusion of the Fintech Strategy as the fourth pillar of the Financial Sector Development Program (FSDP), aiming to position Saudi Arabia as a leading fintech country, with Riyadh becoming a global hub.

This thriving ecosystem also creates opportunities for companies like us - Abwab.ai. We leverage AI to streamline underwriting processes for financial institutions. By automating decision-making and bridging the SME funding gap, Abwab.ai plays a pivotal role in supporting Saudi Arabia's journey toward a secure, efficient, and innovative financial ecosystem.

AI in Healthcare: A Revolution in Motion!

Saudi Arabia’s healthcare sector is undergoing a significant transformation.

• The world’s first fully robotic heart transplant was performed at King Faisal Specialist Hospital and Research Center in Riyadh, showcasing how AI can redefine medical practices.

• AI adoption in healthcare could unlock $15-27 billion in economic value by 2030, according to McKinsey & Company.

The Role of Generative AI & Looking to the Future.

Saudi Arabia’s KAUST (King Abdullah University of Science and Technology) is accelerating generative AI research to tackle pressing global challenges. Their GenAI Center of Excellence aims to pioneer innovation while offering training programs to address the GenAI talent gap.

These innovations aren’t just reshaping industries, they’re saving lives and reducing inefficiencies. At Abwab.ai, we draw inspiration from these breakthroughs, focusing on helping financial institutions streamline lending processes and bridge the SME funding gap.

As we've entered 2025, one thing is clear: the Kingdom is well-positioned to continue its meteoric rise as an AI leader.