Middle East Boards Strengthen Global Leadership in AI Governance and Value Creation

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Middle East Boards Strengthen Global Leadership in AI Governance and Value Creation

Dubai: Boards in the Middle East are emerging as the most confident and forward-thinking globally, particularly in their approach to artificial intelligence governance. This insight comes from the latest Board Value Index, a comprehensive study conducted by Board Intelligence, which surveyed over 400 non-executive directors, CEOs, and CFOs across the UK, US, Nordics, and the Middle East.

The findings reveal that Middle Eastern boards are not only confident in the value they create but are also ahead of their international counterparts in addressing the governance implications of AI. More than 42% of directors in the region view their boards as essential tools for value creation, the highest percentage among all regions surveyed. Additionally, 86% of these directors believe their boards foster innovation, while 58% are actively evaluating which decisions should remain human-led versus those that can be AI-driven.

Boards Navigating Economic Diversification and Digital Transformation

The research highlights the pivotal role that boards play as organizations in the Gulf Cooperation Council (GCC) navigate economic diversification and digital transformation. As new industries emerge and national development agendas evolve, boards are increasingly focused on long-term growth and competitiveness. Nearly two-thirds (62%) of Middle Eastern boards dedicate the majority of their meeting time to future-oriented discussions, surpassing their peers in the UK and Nordics, and trailing only behind the US.

However, the study also points to areas for improvement. Skills and subject matter expertise were identified as significant barriers to effective decision-making, with 34% of respondents citing this issue. Notably, 80% of directors reported that skills gaps had led to at least one delayed or poor decision in the past six months.

Embracing Emerging Technologies as Strategic Opportunities

Pippa Begg, CEO and Co-founder of Board Intelligence, emphasized the dynamic environment in which Middle Eastern boards operate. She noted that organizations are rapidly transforming, and boards are increasingly tasked with overseeing complex decisions that involve technology, innovation, and long-term growth. The research indicates that Middle Eastern boards are leading discussions on AI governance and future readiness, reflecting a broader regional transformation where significant investments are being made in AI and digital capabilities.

The study also revealed that boards in the Middle East are more likely than their global counterparts to perceive emerging technologies as strategic opportunities rather than merely risks. For instance, 30% of directors indicated that their boards discuss quantum computing primarily as a strategic opportunity, compared to 24% globally. Furthermore, 58% are actively reviewing how AI should influence their decision-making frameworks.

Evolving Governance Expectations

Raja Al Mazrouei, Advisory Board Member of Board Intelligence and CEO of Etihad Credit Insurance, highlighted the new expectations placed on boards due to the region’s transformation ambitions. Directors are increasingly required to oversee complex organizations operating across various sectors and technologies while supporting long-term growth and innovation. Al Mazrouei stated that strong governance today extends beyond mere oversight and compliance; it increasingly relies on the quality of information, access to expertise, and the ability to make informed decisions in a rapidly evolving environment.

Despite the positive outlook, the research indicates that boards recognize the need to enhance their contributions to long-term value creation. Only 22% of Middle Eastern directors believe their boards strongly enable innovation, suggesting that while innovation is generally supported, many boards feel they could play a more active role in driving transformation. Additionally, 64% of respondents indicated that they would need to either develop internal talent or conduct an external search before appointing a CEO successor immediately.

The findings are part of Board Intelligence’s global Board Value Index, which assesses board effectiveness through the lenses of value creation, decision-making quality, and future readiness.

Source: www.emirates247.com

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Published on 2026-06-12 05:33:00 • By the Editorial Desk

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