The impact of the digital transformation on Saudi Arabia’s economy
23/06/21
The Kingdom of Saudi Arabia has the potential to double the size of the economy to SAR 6 trillion (USD 1.6 trillion), if it endorses, promotes and supports the digital transformation in the country.
This outlook was predicted in an Ernst & Young report commissioned by Automation Anywhere, a global specialist in robotic process automation (RPA) in Silicon Valley.
The study examined the impact of incremental intelligent automation adoption, a combination of robotic process automation (RPA) and artificial intelligence (AI).
The incremental intelligent automation adoption in the region will add SAR 1.1 trillion (USD 293 billion) to the gross domestic product (GDP) by 2030 in the optimistic scenario with 50%, SAR 690 billion (USD 184 billion) in the moderate scenario with 30% and SAR 386 billion (USD 103 billion) in the conservative scenario with 15%.
The study identified three critical components to accelerate intelligent automation. Firstly, public and private enterprises have to stimulate the digital transformation by providing fast and secure services using cloud technology. Secondly, the country needs to increase specialised digital based training and development for the workforce. Thirdly, a stronger ecosystem has to be developed to allow start-ups and scale-ups, small business, small and medium enterprises and academia to drive innovation.
In general, the Middle East as a region has an agenda driven by governments which includes a strong appetite for technology. We are currently witnessing a healthy uptake of automation adoption in segments including banking and insurance, tourism, energy and metals.
Automation Anywhere noted that the pandemic has highlighted the need to build strong a digital business infrastructure which is scalable, effective and efficient. It will allow organizations to function under most adverse and severe circumstances.
Saudi Arabia has laid the foundation for a bright future through the Saudi Vision 2030, a strategic framework to decrease the country’s dependence on oil and to diversify the economy. An important part of the plan is to actively promote private and public partnerships and to develop the services in sectors such as health, education, infrastructure, entertainment, recreation and tourism.
Please click on the link and reach out to learn more about the digital transformation in the Kingdom of Saudi Arabia as well as the initiatives of Business Start Up Saudi Arabia.
