UAE’s AI Ambitions Outpace Governance Practices

The United Arab Emirates is a global leader in AI adoption, boasting the world’s highest rate of use among its working-age population. Yet, despite being at the forefront of this technological revolution, a new report reveals concerning gaps in how UAE organizations govern and understand their AI systems.

Dataiku’s Global AI Confessions Report surveyed over 800 senior data executives across eight countries, including 100 respondents from the UAE working in large corporations. The findings paint a picture of ambitious AI implementation clashing with a lack of robust oversight mechanisms.

While 72 percent of UAE data leaders express confidence in entrusting AI agents to make autonomous decisions in critical business processes – even without clear explanations for those decisions – almost all (94 percent) admit they lack complete visibility into how these AI systems arrive at their conclusions. This disconnect raises serious governance concerns, with only half taking steps like delaying or blocking AI deployments due to explainability worries.

Furthermore, only 17 percent of UAE respondents always require AI systems to provide explanations for their decisions – a stark contrast to the global average of 47 percent. This reluctance to prioritize explainability creates vulnerabilities. While two-thirds (62%) admit limited confidence in their organization’s AI systems passing basic decision audits, few appear actively addressing this gap.

The consequences of this oversight are potentially damaging. When AI delivers successful outcomes, UAE organizations are most likely to credit the AI and data science team (42 percent), exceeding the global average of 32 percent. Conversely, when things go wrong, 33 percent point fingers at the same AI and data science teams, compared to a global average of 25 percent.

Interestingly, while UAE data leaders emphasize AI accuracy above all else, they are cautious about entrusting AI with high-stakes decisions. They overwhelmingly refuse to allow AI agents to participate in hiring or firing (55 percent) or handle legal and compliance matters (48 percent). This suggests a pragmatic approach where AI’s strengths are recognized while acknowledging its limitations.

However, the report highlights a disconnect between leadership aspirations and realistic expectations regarding AI implementation. Nearly six in ten UAE respondents believe their C-suite overestimates AI system accuracy, and two-thirds feel that leadership underestimates the time and complexity needed to make AI truly operational. This suggests a gap in communication and understanding about AI capabilities within organizations.

A Balancing Act:

The UAE’s position as an AI pioneer is undeniable, but its rapid adoption trajectory requires careful calibration with responsible governance practices. The report urges a more balanced approach – one that prioritizes explainability, addresses accountability concerns, and aligns technological ambition with realistic business outcomes.

Failing to do so risks undermining public trust in AI, creating operational vulnerabilities, and ultimately hindering the UAE’s long-term AI goals.