Artificial intelligence is expected to contribute up to $182bn to the UAE's economy by 2035, according to Accenture. Reuters
Artificial intelligence is expected to contribute up to $182bn to the UAE's economy by 2035, according to Accenture. Reuters
Artificial intelligence is expected to contribute up to $182bn to the UAE's economy by 2035, according to Accenture. Reuters
Artificial intelligence is expected to contribute up to $182bn to the UAE's economy by 2035, according to Accenture. Reuters

The UAE is preparing for the future by investing in advanced technology


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For the first time in modern history, humans are looking for safety in separation. The pandemic has left us relying on social distancing and masks to shield ourselves from an invisible threat that may be lurking in any space and on any surface. And unlike ever before, the online world has become our safe-haven, keeping us away from the dangers of the physical world.

The most important lesson we’ve learnt amid the stark challenges of the past year is that our need to communicate with each other is essential to our survival and well-being.

For humanity to prosper, we must embrace the fact that our new reality requires communication with and through, everything around us: with each other, with our devices and even between devices. And while the pandemic might have laid waste to the old ways of living and working to which we had grown accustomed to, our determination to cope with it and evolve despite it, has created a significant new opportunity.

At no other point in history has humanity had to step into the future. We have made tremendous progress in an unprecedented period of time and we now stand at the verge of a full-fledged industrial revolution that is reshaping our global economy.

Could it be that society’s hope resides in machines that transmit our thoughts, emotions and concerns across cables and networks to colleagues and loved-ones near and far? The growing population of people across the world that are working remotely would suggest so. And this will certainly be further cemented as our children, the future leaders of our world, continue to have their personalities shaped virtually through distance learning and digital interactions.

Across each of the three prior industrial revolutions (steam, electricity and electronics), the direct impact has been a mass optimisation of production. However, the fourth industrial revolution (4IR) is relying on an array of new technologies, including artificial intelligence, internet of things (IoT), cloud computing, blockchain and 5G to completely transform the way industries, governments and societies function. From transport to finance, food, energy, healthcare and education, 4IR technologies will integrate communication through digitisation to enhance production and influence every aspect of our lives.

So, where does our journey to the future start? In light of the global pandemic, it is essential to understand the trends that will govern our world over the next decade. And for that, we must be inspired by countries that have successfully managed the crisis, overcome immense challenges and identified opportunities for growth and success. For us in the UAE, the answer is very simple: the future starts here.

The UAE has demonstrated an unparalleled level of crisis management to emerge as a regional and global force. It remains one of the leading countries on Covid-19 testing and is within the top five worldwide in the percentage of citizens and residents vaccinated, surpassing any of the G20 countries.

While preserving the health of its workforce, it has continued to remain economically vibrant. So much so that at a time when the vast majority of the world was engulfed in attempting to manage the crisis, the UAE became the first Arab country to launch a probe to Mars.

The UAE’s unique ability to navigate through an unprecedented situation is the result of a vision 50 years in the making. Since its establishment in 1971, the country has sought to build an advanced technological and industrial sector. Today, the industrial sector contributes to about eight per cent of the country's gross domestic product, serving as a model for developing countries looking to advance their industrial sector. And it didn’t stop there.

Over the next 50 years, the country is preparing to advance into the post-oil era by diversifying into a knowledge and sustainable innovation-driven economy, developing an industrial sector underpinned by 4IR technologies.

With the launch of a UAE Strategy for the Fourth Industrial Revolution and the establishment of a Ministry for Artificial Intelligence, the Emirates has strengthened its position as one of the most prominent global destinations that can attract foreign direct investment in the advanced technologies sector.

In addition, the young country has made remarkable progress in advancing a number of specialised industries such as aviation, military, mining, renewable energy, and the information and communication technology sector.

For the many reasons above, the fourth edition of the Global Manufacturing and Industrialisation Summit (#GMIS2021) will be held alongside Expo Dubai under the theme of ‘Rewiring Societies: Repurposing Digitalisation for Prosperity’.

From its ambitious inauguration four years ago, the Global Manufacturing and Industrialisation Summit has served as a voice and venue for heads of state, ministers, chief executives, technologists, academics and industry leaders to share their knowledge with the rest of the world.

By promoting the use of technology as a tool for global co-operation, the summit has become an international gathering place for greater investment in capabilities, innovation and global skills development.

#GMIS2021 will reinforce the vision for a future that is reliant on digitalisation and connectivity, a future where our world cannot prosper without humans and machines coexisting in harmony. In line with Expo Dubai’s theme of “Connecting Minds, Creating the Future”, #GMIS2021 will inspire conversations that will shape a digitally inclusive, interconnected and sustainable future for all.

Badr Al-Olama is the head of the organising committee of the Global Manufacturing and Industrialisation Summit.

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2017: Trump criticises Khan’s ‘no reason to be alarmed’ response to London Bridge terror attacks

2019: Trump calls Khan a “stone cold loser” before first state visit

2019: Trump tweets about “Khan’s Londonistan”, calling him “a national disgrace”

2022:  Khan’s office attributes rise in Islamophobic abuse against the major to hostility stoked during Trump’s presidency

July 2025 During a golfing trip to Scotland, Trump calls Khan “a nasty person”

Sept 2025 Trump blames Khan for London’s “stabbings and the dirt and the filth”.

Dec 2025 Trump suggests migrants got Khan elected, calls him a “horrible, vicious, disgusting mayor”

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Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer