Digital processes in the GCC countries in the first third of the 21ST century: industry features and the need to align industry gaps

Abstract

Listen

Translate article

The countries of the Cooperation Council for the Arab States of the Persian Gulf (GCC), like many other countries of the world, today live in the realities of digital development and implement the achievements of world science and technology in various spheres and sectors of their economy and life in general. The purpose of the article is to identify the existing level of digitalization in the GCC countries in regional and sectoral aspects. The article shows that in the process of digitalization in the region and individual countries, the needs of digitalization of the national economy have been formed to support sustainable socio-economic development and solve a number of other tasks, for example, environmental, energy, etc. At the same time, specific threats have formed, among which in this article the author identifies industry digital gaps. The author concludes that during the period under study (2000–2023), the GCC identified industry leaders and outsiders in the process of digitalization. The author refers to the first extractive industries, oil refining, construction, as well as the service sector. The prospects for the development of digital systems in the GCC countries are assessed by the author as generally positive, but in the GCC it is important to eliminate digital gaps in the sectoral structure of the economy at the regional and country levels. To do this, according to the author, it is necessary to use legal, organizational, financial and other measures in the GCC countries, including the intensification of international cooperation in the digital sphere in the region and beyond. The study was conducted on the basis of reports from regional and international organizations (UNCTAD, IMF, League of Arab States, Arab Monetary Fund, etc.)