Zawya - Press Releases: Middle Eastern boards of directors lead the world in AI governance despite persistent skills and experience gaps.

• 42% of board members in the Middle East consider their boards a key tool for value creation, the highest percentage among all regions covered by the study.

• 58% of boards of directors are currently reviewing which decisions should be human-led and which can be led by artificial intelligence, while the remaining percentage have discussed this topic at the board level, making the region the most advanced globally in this field.

• 86% confirm that their boards of directors support innovation, the highest percentage recorded globally.

• Specialized skills and expertise are the biggest challenge facing boards of directors in the region, with 80% of board members stating that this factor led to a delayed, hasty, or ineffective decision in the past six months.

Dubai, UAE: A new research study by Board Intelligence, the largest board technology and consulting firm in Europe, the Middle East and Africa, has revealed that boards of directors in the Middle East are now among the most forward-looking and technology-focused in the world.

The latest edition of the Board Value Index, which included more than 400 non-executive board members, chief executives, and finance directors in the UK, US, Nordic, and Middle East, showed that boards in the region are the most trusted globally in the value they deliver to their organizations, and are ahead of their international counterparts in addressing AI governance considerations and requirements.

The findings revealed that more than two out of every five board members in the Middle East (42%) view their boards as a key tool for value creation, the highest percentage among all regions surveyed. Furthermore, 86% reported that their boards support innovation, while 58% confirmed they are reviewing decisions that should remain human-led and those that can be driven by artificial intelligence, given the increasing integration of these technologies into corporate operations.

These results reflect the growing role of boards of directors, as companies in the GCC continue their journey of economic diversification, digital transformation, development of emerging industries and implementation of ambitious national development agendas.

Boards of directors in the Middle East are also among the most forward-looking globally, with nearly two-thirds (62%) of board members dedicating the majority of their meetings to discussing future-related issues. This puts the region ahead of the UK and the Nordic countries, ranking second globally after the US. This indicates a growing focus among Middle Eastern boards on long-term growth, innovation, and enhancing competitiveness.

Conversely, the study highlights additional opportunities to enhance the effectiveness of boards of directors given the expanding scope of responsibilities placed on their members.

Skills and specialized expertise were identified as the biggest obstacle to improving the quality of decisions within boards of directors in the region, cited by 34% of respondents. Furthermore, four out of five board members (80%) reported that skills gaps had resulted in at least one decision being made late, hastily, or ineffective in the past six months.

In this context, Pippa Page, CEO and co-founder of Board Intelligence, said: “Boards in the Middle East operate in one of the most dynamic environments in the world. Companies are undergoing rapid transformations, with new industries emerging at an increasing pace, and boards are required to oversee decisions related to technology, innovation, risk management, and achieving long-term growth at the same time.”

She added: “Our study’s findings confirm that boards of directors in the Middle East are among the most forward-looking globally, and they are leading many discussions related to AI governance and enhancing future readiness. This reflects the transformation taking place in the region, where governments and institutions are investing heavily in AI, digital capabilities, and future industries. As companies continue to evolve, boards of directors will need the right expertise, accurate information, and decision-making frameworks to support deeper strategic discussions and more effective decisions.”

The study also showed that boards of directors in the Middle East view emerging technologies as strategic opportunities to a greater extent than their counterparts in the rest of the world, and do not deal with them solely from a risk management perspective.

Thirty percent of board members indicated that their boards primarily discuss quantum computing as a strategic opportunity, compared to a global average of 24%. Fifty-eight percent also reported that they are examining how artificial intelligence might affect their companies' decision-making structures and frameworks.

These results indicate a growing awareness among boards of directors in the region that future competitiveness will depend not only on adopting new technologies, but also on the evolution of governance practices themselves.

For her part, Her Excellency Raja Al Mazrouei, Board Intelligence Advisory Board Member and CEO of Etihad Credit Insurance, said: “The transformation ambitions in the Middle East are setting new expectations for the role of boards of directors. Board members are now required to oversee more complex institutions operating across new sectors, technologies and markets, while supporting long-term growth priorities and promoting innovation.”

Her Excellency continued: “Effective governance today goes beyond traditional notions of supervision and compliance, increasingly relying on the quality of information, access to appropriate expertise, and the ability to make informed decisions in a rapidly changing environment. The companies most prepared for the future will be those whose boards of directors succeed in combining forward-looking vision, effective decision-making, and a commitment to continuous learning and development.”

Despite the prevailing positive outlook, the study showed that boards of directors see additional opportunities to enhance their contribution to building long-term value.

Only 22% of board members in the Middle East reported that their boards strongly support innovation, indicating that despite widespread adoption of innovation, many boards see room to play a stronger role in accelerating transformation and development. Furthermore, 64% indicated that their companies will need to develop leaders from within the organization or seek external candidates before they can immediately appoint a successor to the CEO.

These findings are part of the latest edition of the Board Intelligence Value Index, which assesses board effectiveness across three key pillars: value creation, decision-making effectiveness, and future readiness. The full report can be accessed via the following link: (link).

For media communication

Emmanuel Ofosu-Appia

Email: Emmanuel.Ofosu-Appiah@edelmansmithfield.com

About "Board Intelligence"

Board Intelligence is the largest board technology and consulting firm in Europe, the Middle East, and Africa. Trusted by over 80,000 leaders of Fortune 500, FTSE 100, and OMX 30 companies, it provides specialized tools to enhance board effectiveness and performance.

About the Board Value Index

The Board Intelligence Value Index is based on independent research of 405 board members, CEOs, and CFOs in the UK, US, Nordic, and Middle East, representing organizations with revenues exceeding £50 million. The index is a leading benchmark for measuring board performance by assessing their ability to create value, the effectiveness of their decision-making, and their future readiness.

The latest edition of the Board Value Index was based on a survey of 405 participants, including non-executive (independent) board members, chief executives, and finance directors of organizations based in the UK, US, Nordic, and Middle East.

The sample from the Nordic countries included participants from institutions headquartered in Sweden, Norway, and Denmark.

The Middle East sample included participants from organizations headquartered in the United Arab Emirates, Saudi Arabia, Bahrain, Qatar, Kuwait and Oman (GCC countries).

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