How UAE's concentrate on FinTech will propel its rise as a worldwide tech hub

The year 2020 is a momentous among significant developments for the UAE, with Sheikh Mohamed bin Zayed, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the Armed Forces, becoming among the region's most influential figures.

From the recent normalisation of ties with Israel to the strong leadership demonstrated in the global fight against Covid-19 that won global recognition, the UAE has been transformed right into a global force once and for all.

On the financial and technology front, the normalisation agreement opens the entranceway to a new era of collaboration between a recognised technology hub, Israel and the Emirates as an ambitious contender.

In this context, the FinTech Abu Dhabi festival being held from November 24 to November 26 serves as an possibility to showcase not merely the excellence of the UAE’s entrepreneurial spirit but also the global outreach of its FinTech industry and digital ecosystem.

It represents an outstanding occasion to witness a high-level discussion into the challenges and the opportunities faced by the FinTech ecosystem in the UAE and the wider GCC region.

During recent conversations with senior UAE entrepreneurs, companies, bankers and politicians, I had several eye-opening discussions on the low-hanging fruit at the UAE’s fingertips that may help it turn into a thriving FinTech hub of digital innovation. With support from the Abu Dhabi Global Market, I really believe FinTech - with solutions such as peer-to-peer lending, machine understanding how to personalise insurance solutions and the utilization of artificial intelligence for the wealth management business - stands as a serious contender in relation to unlocking the funding challenges faced by the country’s small and medium-sized enterprises.

In doing so, FinTech could catapult the united states up the ranks of the global start-up league.

Fully conscious of the strategic need for promoting financial solutions for SMEs as a driver of job creation and sustainable growth, the ADGM has led just how in consolidating the UAE’s position as a global trade and business hub that serves as a strategic link between your Middle East, Africa, South Asia and all of those other world.

Among the ambitious initiatives to create a platform that connects entrepreneurs and in addition permits the exchange of ideas may be the gross annual FinTech Abu Dhabi Innovation Challenge.Now in its fourth year, the 2020 event attracted about 200 applications from companies that proposed ground breaking solutions to address the pain points of the financial service sector and give attention to initiatives to promote financing for SMEs.

So, what exactly will be the factors that could help FinTech - and, specifically, peer-to-peer lending - transform the UAE’s SME and digital ecosystem and transform it right into a global hub for start-ups?

Undoubtedly, the UAE has several interlocking strengths, namely its strategic location, its recent expansion of alliances with other technology hubs such as for example Israel, a favourable tax system and free trade zone, an entrepreneurial spirit, a good network of highly successful persons around the world, its talent pool and an informed and multilingual population.

The UAE has the highest Human Development Index rating in the GCC.

The country is also in a distinctive position to capitalise on its competitive benefits to drive and enhance traditional and new economic sectors. Ambitious? Of course. Doable? Without question.

As the UAE looks into the near future, FinTech represents an possibility to diversify the sources of its economic growth.

The united states has demonstrated a strong reform will for reforms and diversification has already been under way.

In this context, the development of a FinTech ecosystem to aid an open, efficient, effective and globally integrated business environment is a key the main Abu Dhabi Economic Vision 2030.

FinTech innovation, start-ups and a knowledge-based economy will play a central role in Sheikh Mohamed’s vision to transform the economy and rebalance it right into a more technology-driven modern global superpower.

Through the ADGM and its FinTech initiative, the UAE is sending a solid signal to the world that “we are open”.

The high-profile event is testament to the evolving leadership of the UAE on the world stage and its growing appeal to global leaders, investors and innovators.

What is certain to the foreign observer peering into the UAE is its potential to be transformed from one of the major oil producers on earth to a leading hub for technology and innovation.

Ambition, resolve and resources will transform UAE’s vision into reality.