5 factors that promote the UAE’s leadership in the digital economy

The United Arab Emirates (UAE) has achieved great achievements in the transformation of the digital economy over the past five years, which contributed to enhancing the competitiveness of the national economy, according to indicators issued by international institutions, foremost of which is the World Economic Forum, E – commerce during 2017.

The state is expected to strengthen its position in the digital economy over the next two years with the support of five key factors. In addition to the great acceleration in e-commerce, the availability of information technology infrastructure, the spread of Internet services, the use of smart phones and the expansion of electronic payment systems, as well as unlimited government support for digital transformation .

Under the government’s approach to digital transformation, the value of electronic commerce in the UAE will reach AED 100 billion by 2020, which means that this type of trade will double in comparison to 2016, according to the latest World Economic Forum.

Based on these data, the UAE will account for 40% of the total e-commerce in the Middle East by 2020. The UAE’s entry into this leading e-commerce website will be supported by its accession to the Trade Facilitation Agreement, In 2017.

The Trade Facilitation Agreement is one of the most important achievements of the World Trade Organization (WTO) aimed at facilitating the movement of goods across borders, facilitating customs clearance and release, reducing transaction costs and increasing transparency in international trade procedures.

At the local level of official support, strengthening the state’s position in the digital economy has become the top priority of the government. Coordination between the relevant ministries, including the Ministry of Economy and private institutions, is currently underway to establish a federal e-commerce platform and launch more e-commerce initiatives.

It is noteworthy that the Ministry of Economy has sought and still continue its efforts to expand electronic services that contribute to the promotion of e-commerce as part of its support for the government’s strategy in the area of ​​expansion of electronic services and introduced the ministry in order to achieve its package of applications and websites that contribute to enhancing the knowledge environment for the trade sector Foreign direct investment and foreign direct investment through the use of best practices in information and communication technologies, to provide commercial and investment services with the required speed and, as such, enhances the business environment and competitiveness of the economy.