Dubai, UAE — November 2025 — A new IBM study revealed that enterprises in the UAE are achieving some of the most significant productivity gains from Artificial Intelligence in Europe, the Middle East, and Africa region, with a strong majority expecting a return on their investments within the next year.
The report, titled “The Race for ROI,” surveyed 3,500 senior executives across ten EMEA countries, including 500 from the UAE. It found that 77 percent of UAE respondents have already seen substantial operational productivity improvements from AI, significantly outpacing the regional average of 66 percent.
The momentum is translating into financial returns. Approximately one in five UAE organizations report they have already met their ROI goals from AI initiatives. Looking ahead, an average of 44 percent expect to see returns within 12 months across key metrics like cost reduction, employee time savings, increased revenue, and improved employee satisfaction.
Optimism for the future is high, with 93 percent of UAE leaders confident that emerging “AI Agents” will deliver measurable ROI within two years.
From efficiency to strategic transformation
The study indicated that UAE companies are progressing beyond using AI for simple automation and are now leveraging it for strategic business transformation. Among those reporting productivity gains, 26 percent said AI has fundamentally altered their business models.
Companies are actively redesigning operations around AI, with many already using the technology to accelerate innovation cycles, transition to continuous AI-driven decision-making, and redesign core value streams.
“Across the UAE, we’re seeing clients move from experimentation to execution with AI,” said Shukri Eid, General Manager, IBM Gulf Levant and Pakistan. “What stands out in this study by IBM is how leaders in the UAE are linking AI directly to measurable productivity, faster ROI and workforce transformation.”
Focus on workforce and open systems
The impact on the workforce is also pronounced. Over half of UAE leaders say AI is augmenting employee capabilities, freeing up staff to focus on higher-value work like innovation, strategic planning, and sustainability initiatives.
Notably, 47 percent are prioritizing inclusive AI workforce transformation, ensuring upskilling is accessible to all employees, well above the EMEA average of 36.5 percent.
The research also highlighted that UAE enterprises prioritize open, flexible AI systems. A large majority emphasized the need for ethical and transparent AI operations, interoperability with existing IT systems, and the flexibility to choose and adapt AI solutions as needs evolve.
Navigating barriers to scale
Despite the progress, companies face hurdles in scaling AI. UAE respondents identified key barriers, including inadequate data infrastructure, security and ethical concerns, IT complexity, and high upfront costs.
To help overcome these challenges and accelerate ROI, the IBM report outlined five key priorities for business leaders: establishing an effective AI operating model, cultivating AI literacy, embracing rapid change, implementing strong governance, and creating a cross-company “AI Board” to oversee ethical use.
