AI And Jobs In Focus: UAE Davos Dialogue On Inclusive Growth And Labour Market Shifts

The UAE used a high-level dialogue in Davos to warn that artificial intelligence could reshape labour markets worldwide, while also stressing the need to protect inclusive growth and economic resilience as technological and geopolitical shifts gather pace.

The session took place at the UAE Pavilion during the 2026 World Economic Forum Annual Meeting and examined how AI, shifting trade patterns, and structural change may influence jobs, productivity, and future growth models in advanced and emerging economies.

Held under the title The Great Rebalancing: Artificial Intelligence, Jobs, and the Future of Inclusive Growth, the fireside discussion brought together Badr Jafar, the UAE’s Special Envoy for Business and Philanthropy, and Kristalina Georgieva, Managing Director of the International Monetary Fund, to consider both risks and opportunities in the global economy.

Drawing on the IMF’s latest analysis, Kristalina Georgieva said uncertainty in the global environment remains very high and is expected to stay elevated, yet recent data show growth holding up better than anticipated and IMF projections upgraded, while warning that this resilience could weaken as technology, climate pressures, shifting demographics, and geopolitics continue to alter economic structures.

Georgieva described the speed of labour market change driven by AI in stark terms, stating: "A tsunami is hitting the labour market," and adding, "AI is quickly reshaping economies. Some roles grow; others disappear. We must invest in skills and prepare communities. The world as a whole is already experiencing the arrival of AI, but I do worry about the accordion of opportunities that are much more present in some places than in others."

The discussion highlighted IMF estimates that around 40% of jobs globally are likely to be significantly influenced by AI, with roles either upgraded, redesigned, or displaced, underlining the need for governments and businesses to move quickly on policy, training, and social protection so that communities can navigate a long period of transition.

Artificial intelligence, jobs and inclusive growth in UAE economic strategy

Badr Jafar outlined how the UAE is pursuing a long-term strategy built around economic resilience, openness, and global connectivity, noting that "At a time when global systems are fragmenting, the UAE is doubling down on connection. We are known for open skies, open ports, and open minds – and the data shows the value of this approach," as international conditions become more volatile.

Jafar then pointed to recent inflows of capital and talent, stating: "Last year, the UAE attracted over US$45 billion in foreign direct investment, up nearly 50% year-on-year, even as global FDI declined by 11%. We accounted for more than half of all investment flows into the Middle East, ranked second globally for new greenfield projects, behind only the United States, and welcomed in nearly 10,000 new millionaires, more than any other country worldwide. In an age of fragmentation, our connectivity is a clear strategic advantage."

Key investment indicators linked to this UAE strategy on artificial intelligence, jobs and inclusive growth are summarised below.

Artificial intelligence, jobs and inclusive growth in IMF regional assessment

Within the IMF’s broader outlook, the UAE and the wider Gulf region were identified as consistent bright spots, with Georgieva linking this performance to three core strengths: ongoing regulatory reform that reduces bureaucracy, sustained diversification with non-oil sectors now contributing over 75% of UAE GDP, and long-term investment in human capital, skills, and inclusion across society.

Georgieva set out four wider conditions that, in the IMF view, can support resilient and inclusive growth in an AI-driven global economy, stressing the need for adaptable private sectors, responsible approaches to AI deployment, continued trade flows across borders, and prudent fiscal policy frameworks, alongside strong public investment in education systems, digital infrastructure, and access to AI tools.

Speakers at the UAE Pavilion also discussed how artificial intelligence, jobs and inclusive growth require new growth models that combine efficiency with fairness, underlining the importance of quality job creation, meaningful roles for young people, broader participation in economic opportunity, and active roles for governments, private companies, and strategic philanthropy in converting AI-related productivity gains into durable and inclusive outcomes through social innovation and better alignment of incentives.

The dialogue formed part of the UAE Pavilion’s wider programme at the World Economic Forum Annual Meeting in Davos and reflected the UAE’s aim to contribute to global debates on inclusive growth, artificial intelligence, and the future of work, while promoting responsible innovation, patient capital, and cross-sector collaboration as ways to support a more resilient, connected, and inclusive world economy.

With inputs from WAM