President Sheikh Mohamed meets Emmanuel Macron in Paris to discuss AI collaboration


Sunniva Rose
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President Sheikh Mohamed met French President Emmanuel Macron in Paris on Thursday to discuss strengthening collaboration in artificial intelligence, including investment in a one gigawatt AI Campus in France.

At the meeting, which took place before Mr Macron hosts an AI summit, Sheikh Mohamed noted that the two countries share a commitment to the responsible use of the technology for global development. They also discussed developments in the Middle East.

They attended a ceremony to mark the UAE-France Framework for Co-operation in AI, which was signed by Khaldoon Al Mubarak, Chairman of the Executive Affairs Authority and member of the Abu Dhabi Artificial Intelligence and Advanced Technology Council, and French ministers Jean-Noel Barrot and Eric Lombard.

Sheikh Mohamed and Mr Macron underlined their intention to create a strategic AI partnership, state news agency Wam reported. They are committed to working together on AI projects, including data centre infrastructure and talent development, it added. They also intend to establish Virtual Data Embassies to enable sovereign AI and cloud infrastructure in both countries.

They also addressed ways to deepen collaboration in the economic, investment and cultural fields, as well a climate action and energy. The two countries have maintained a Comprehensive Strategic Energy Partnership since 2022 and launched the UAE-France Bilateral Climate Investment Platform last year.

Mr Macron hosted a dinner in honour of Sheikh Mohamed and the accompanying Emirati delegation, which included Sheikh Hamdan bin Mohamed, Deputy Chairman of the Presidential Court for Special Affairs; Sheikh Mohammed bin Hamad, Adviser to the UAE President; Ali Al Shamsi, Secretary General of the Supreme Council for National Security; Dr Sultan Al Jaber, Minister of Industry and Advanced Technology; Faisal Al Bannai, Adviser to the UAE President for Strategic Research and Advanced Technology Affairs; Ahmed Al Mazrouei, Chairman of the President’s Office for Strategic Affairs and Chairman of the Abu Dhabi Executive Office; and the UAE's ambassador to France, Fahad Al Raqbani.

Common ambitions

The meeting at the Elysee Palace was intended to highlight the “common ambitions” between the two countries regarding AI, Paris said in a statement.

The two-day summit, which starts on Monday, will be co-hosted by Mr Macron and Indian Prime Minister Narendra Modi. The UAE will also be represented.

US Vice President JD Vance, German Chancellor Olaf Scholz and EU Commission President Ursula von der Leyen are also expected to attend, as well as tech leaders including Google chief executive Sundar Pichai and Alibaba chairman Joe Tsai.

“We hope there will be a more concrete conversation about what exactly is AI,” Mr Macron's special envoy for the summit, Anne Bouverot, said in a briefing to reporters.

“Chatbots as we know them today appeared barely two years ago. We don't know where this will go … It's good to sit down together to ask ourselves what we are heading towards.”

Sheikh Mohamed and Emmanuel Macron, with Khaldoon Al Mubarak Chairman of the Executive Affairs Authority, and French minister Jean-Noel Barrot, after the signing of an AI agreement. AP
Sheikh Mohamed and Emmanuel Macron, with Khaldoon Al Mubarak Chairman of the Executive Affairs Authority, and French minister Jean-Noel Barrot, after the signing of an AI agreement. AP

Two previous AI summits were held in the UK and South Korea. While AI development is dominated by the US and China, France wants to show that it can also shape the conversation around its development.

Leaders are expected to issue a joint declaration on AI after a meeting in Paris on Tuesday. “It will be a very short statement to show the intention to continue having these discussions in an inclusive manner, for a shared progress on AI,” Ms Bouverot added.

The summit will begin with talks focused on AI and labour, media and cyber security. Hundreds of events are scheduled during the summit to focus on different aspects of AI, including sustainable development.

The rapid development of AI has been making headlines, including the rise of Chinese AI start-up DeepSeek. It quickly became the most downloaded free app on the Apple Store in the US, with President Donald Trump describing it as a “wake-up” call for American industry.

Ms Bouvet said the rise of DeepSeek demonstrated China's “strong innovation abilities based on open source talents and a certain amount of computing power".

Mr Modi is to scheduled to visit Marseille with Mr Macron on Wednesday. The city could become a strategic entry point to Europe for the India Middle East Corridor. “There is a strong message of partnership with a large emerging country,” Ms Bouverot said. “It's a country with which France has had very good collaboration for years, which has a lot of talent in IT and AI.”

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Gifts exchanged
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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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