< PreviousSaudi Arabia has more hotel rooms under construction than any other country in the MEA region, according to data from analysts STR The WHO issued a product alert over contaminated syrup by an Indian manufacturer, warning that it is unsafe for use NEWS IN NUMBERS New capabilities Change always comes with an element of risk. However, it’s possible to manage that risk when the challenges and bene ts are well understood. FSI busi- nesses must defend critical assets while also ensuring that data-access issues don’t hamper their ability to deliver new services. Building in new security capabilities as part of the digital transformation effort can cut down some of the complex risks that FSI businesses face daily. Con dential computing FSI can accomplish transformation through digitisation if they build data protections into the infrastructure that is the foundation of their efforts. Con dential computing is a technology that is key to protecting data while it’s in use, in ways that extend beyond traditional security controls. By using the same cryptographic bases that power encryption for storage and networking, con dential computing can ensure that data being used for computation is secured. Risk assessments Fraud or money laundering could be detected while preserving the privacy of customers. Credit and risk assessments and nancial trading analyses could be performed without parties disclosing sensitive data to competitors. FSI businesses can accelerate their digital transfor- mations today — and build the foundations for expanded services for the future — by putting these new silicon-based technologies to work and thus ensuring data security. THREE REASONS WH Y The idea of digital transformation is tremendously attractive, but for the nancial services industry, it’s a complicated journey KSA hospitality QP Pharmachem GOOD MONTH BAD MONTH Upfront The top news and business headlines from the region M AY 2023 Digital transformation is indispensable for the nancial services industry 10 Vol. 24/05, May 2023 The number of global internet users has been on the rise ever since the internet was adopted worldwide. The year 2023’s gure of 5.16 billion users marks a 1.9 percent year-over-year. Despite the rise, it actually marks the slowest growth rate in at least a decade. The latest gures also show that the number of global internet users has been steadily increasing over the past decade or so, and is now two times more than the 2.53 billion there were in 2013. In 2014, the number of global internet users grew to 2.8 billion, before breaching the 3-billion mark a year later. It took all but three years to add another billion, with the number hitting 4 billion in 2018. Over the past decade, the biggest annual increase in the number of internet users came in 2015. That year, global internet users grew by 13.9 percent. From 2013 to 2023, the world added over 2.6 billion internet users, with an average annual growth rate of 7.4 percent. Source: Automation platform Oberlo Number of internet users: 2013–2023 growth 20132017201520192022201420182021201620202023 2.53 0 2 3 6 Numbers of users in billions Source: DataReportal 2.8 3.0 3.42 3.68 4.0 4.34 4.63 4.96 5.06 5.16arabianbusiness.com 11 The UAE Ministry of Human Resources and Emiratisation (MoHRE) has announced the deadline for private sector companies with 50 employees or more to achieve their Emiratisation targets, set at 1 percent of skilled jobs. June 30 is the deadline for private sector companies in the UAE. This is in line with the amendment of some provisions of Cabinet Resolution No. (19/5m) of 2022, which is based on the mechanism of achieving yearly Emiratisation increase targets, a statement by the MoHRE said. Private sector companies must achieve 1 percent Emiratisation targets before the end of June, and a yearly 2 percent target increase target before the end of the year. “The private sector is an active partner in enhancing the attractiveness and competi- tiveness of the job market, in line with the vision to make the UAE a dynamic economic hub that is among the most sustainable and fastest growing in the world,” Aisha Belhar a, Acting Undersecretary for Emiratisation Affairs and Assistant Undersecretary for Labour Affairs said. AB ONLINE SOCI AL AND DIGI T A LS U B S CRIBE: TRANSPORT: UAE reveals first look of $3bn track in Fujairah mountains In a Twitter post, Etihad Rail said: “Our #PhotoOfTheWeek showcases the beauty of Fujairah, where our train tracks extend through the mountains, to Fujairah Port and the rest of the rail network.” SAUDI SMES: 166% business boost amid $4.8bn funding drive Saudi Arabia’s SMEs is transforming the kingdom’s economy and having a major impact for entrepreneurs COMMENT Many foreign investors are choosing Dubai because of how simple it is to relocate as well as the city’s stability, safety, strong economy, and lifestyle” The CEO of Provident Estate, Loai Al Fakir, expresses his views on why now is the ideal time to invest in Dubai real estate ArabianBusiness THE BIG STORY She also highlighted the importance of companies achieving the half-yearly Emiratisation target increase to avoid nes, and called on the private sector companies to bene t from the support provided by Na s to hire Emirati talents in skilled jobs, the statement said. She added: “The success of Emiratisa- tion efforts depends on the expansion of the vacancies open to Emiratis in the private sector, and building a secure network that supports their career paths. The Ministry of Human Resources and Emiratisation supports exceptional companies that train and employ Emiratis in line with Na s’ objectives.” Belhar a said Emiratis also have the chance to join the Tawteen Partners Club, “which boosts the ranking of the company to Category 1, providing them with a discount of up to 80 percent on the Ministry’s fees.” UAE Emiratisation nes for non-compliance Come July 2023, the MoHRE will ne non-compliant companies for achieving the half-yearly target as well as the 2022 targets. For every Emirati not hired by targeted private companies, a penalty of AED42,000 will be applied, at a rate of AED7,000 per month for 2023, in line with the Cabinet Decision. The nes will increase by AED1,000 yearly until 2026, the statement said. UAE announces Emiratisation deadline for private sector companies June 30 has been set as the deadline for UAE private sector companies to achieve their 1 percent half-yearly Emiratisation target Workforce The UAE government guarantees continuous employment of Emiratis12 Vol. 24/05, May 2023 Will the dawn of the Fifth Industrial Revolution lead humanity to utopia or dystopia? ‘Potent AI’ carries both risks and rewards Transformation The world has entered a new era of innovation: Arti cial intelligence integrated with DeepTech $15.7TR The potential contribution of arti cial intelligence to the global economy by 2030, according to PwC’s Global Arti cial Intelligence Study one umbrella: AI. This union will pave the way for even greater breakthroughs during our journey towards what prom- ises to be an exciting new era: The Fifth Industrial Revolution. The Fourth Industrial Revolution is bringing unprecedented disruption and transformation. Advanced technologies such as deeptech, spacetech, neurotech and precision health are rapidly matur- ing while markets experience more data production than ever before thanks to machine-to-machine and human-to- machine interaction –a phenomenon known as ‘the age of data’. This techno- logical revolution promises sweeping changes across sectors on individual, corporate, government and societal scales. We have entered a new era of innovation: AI integrated with deep- tech. This ongoing transformation is marked by an increase in scienti c and technological fusion, as well as the massive impact AI is having on society. It’s an exciting time to observe how our world continues to evolve over the next decade. The Fourth Industrial Revolution has seen an immense integra- tion of various tech domains, powered by the advancements in tech, data science and big data analytics. Over the past ve years, we have observed a surge in complexity within these elds as AI continues to in ltrate them ever deeper, ushering us into this new age where technology is now uni ed under COMMEN T | DMITRY KAMINSKIY, GENERAL PARTNER, DEEP KNOWLEDGE GROUParabianbusiness.com 13 Powerful The potential of ChatGPT is massive and the boundaries of what it can do are still being discovered Soon we will see a seismic shift in socio-economic systems as the Fifth Industrial Revolution emerges. Tech- nocracies are set to rise across coun- tries, heralding an age where technol- ogy is paramount for enhancing economies and improving citizens’ quality of life. We are witnessing the rst signs of this technological tide, evidenced by the emergence of advanced projects such as ChatGPT – AI system and The Line – mega structure. This transition period is now garnering mainstream attention and acceptance across a variety of geog- raphies and industries. Humanity is getting ready for a future of even greater intelligent, inter- connected and autonomously adaptive environments. Compared to its prede- cessor, the Fifth Industrial Revolution will bring an unprecedented level of technological superfusion between sectors, domains and technologies. With the boundaries between scienti c research, technology development and industrial processes becoming blurred, the Fifth Industrial Revolution promises to be truly revolutionary. As humanity enters the Fifth Indus- trial Revolution, we can look forward to a future of increased global prosperity and comfort. By incentivising produc- tion and generating more wealth and GDP, this new era a ords us a chance to truly break free from poverty and many diseases for good. Resonance effects of the Fifth Industrial Revolution However, the interconnectedness the Fifth Industrial Revolution will intro- duce presents dangers of synergetic resonance, where small changes may build up to cause massive and chaotic consequences. Without careful regula- tion, these systems could spiral out of control at an alarming rate, resulting in potentially devastating repercussions. With the advancement of uncon- trolled AI, existential threats have already become a hot topic. For some time, certain risky scenarios have been playing out, but until now these events weren’t driven by powerful AI. Navigating the revolutionary frontier: Three key ingredients to bridge 4.0 and 5.0 Applying Big Data analytics to uncover powerful insights into the cascading effects of Fifth Industrial Revolution technology is revolutionising our under- standing of metatechnologies, deeptech, politech and societech components as well as nancial systems. For investors, it’s vital to stay ahead of the curve and prepare for what lies ahead. Long-term technological fore- casting provides a great opportunity to gain valuable insights into potential investments before anyone else. With cutting-edge analysis systems, savvy investors can map out their futures with con dence. Financial infrastructure such as investment platforms, indices and derivatives instruments must be adjusted in order to expedite industri- alisation of emerging asset classes. This will unlock trillions of inaccessible capital that would otherwise remain untapped; enabling a stable emergence into retail markets with consum- er-friendly absorption across societies. Now is the time for investors to get involved in helping build this bridge, making both highly lucrative and ethical investments into the rst cornerstones of the next stage of industrial revolution such as the deeptech and Longevity sectors. Due to the unprecedented level of complexity of these sectors however, to do so intelligently and successfully, investors should seek opportunities that are de-risked and validated in terms of science and technology by analytical frameworks and systems capable of de ning hype versus reality in these domains. A good example is adopting investment approaches that use data science and AI as integral compo- nents of investment decisions. With the latest investtech and financial infrastructure revolutionising invest- ment stability and liquidity for vari- ous industries, businesses and inves- tors can now use sophisticated platforms to mitigate risks associated with investing. For instance, AI-driven high frequency trading systems have surprisingly far-reaching consequences – a single signal can trigger a domino e ect of robotic decisions, resulting in dramatic variations and even tempo- rary nancial market crashes. As the physical world continues to become increasingly intelligent and interconnected, it will rely more heavily on IoT and data transmission. To prevent unintended consequences from this growing interconnectivity, cyber- security must be a fundamental pillar of our digital infrastructure, protecting us against malicious intent as well as resonant e ects. In the move from the Fourth to the Fifth Industrial Revolution, technology is paving the way for progress. Yet there are risks that could impede this tran- siti o n a n d c re a te u n d esir able outcomes, extending beyond those associated with synergetic resonance. This period of change must be managed carefully in order to poten- tialise a successful outcome. We have the power to shape and influence the upcoming advances of global technology, ensuring it reaches its potential by 2030. By recognising hype versus reality and risk factors posed by recklessness, we can optimise for growth that is stable with minimised setbacks, ultimately creating a safe bridge from the Fourth Industrial Revo- lution into the Fifth. Humanity is getting ready for a future of even greater intelligent, interconnected and autonomously adaptive environments | COMMEN TOUTL OOK | 14 Vol. 24/05, May 2023 Inside the TikTok craze for weight loss drugs A TikTok weight loss trend led to a shortage in global supply for type 2 diabetes drugs Ozempic, Wegovy and Saxenda, depriving patients who need it the most Exaggeration The demand for “quick x” injectable weight loss drugs, which garnered a lot of popularity on social media, has shown no sign of waning OUTL OOK | T he TikTok-fueled weight loss hype for injectable Type 2 diabetes drugs Saxenda, Ozempic, and Wegovy has triggered a global supply shortage, including in the UAE, Dubai doctors reveal to Arabian Business. The demand for these “quick x” injectable weight loss drugs, which garnered a lot of popularity earlier this year, has shown no sign of waning. “Nowadays, these medications have become very fashionable, and there are people who are using them over the counter to lose weight with- BY TALA MICHEL ISSAarabianbusiness.com 15 | OUTL OOK Misuse Proper dosage adjustment and injection technique are crucial when taking Ozempic, Saxenda (pictured) or Wegovy out doctor consultation,” Dr Ahmed Raza Khan, Internal Medicine Special- ist at MBZ city’s Bareen International Hospital warns. Healthcare professionals have already raised alarm bells over users attempting this weight loss hack with- out proper medical supervision, with concern mounting that short-term appearance gains could be putting lives at risk. These professionals warned that it is crucial that individuals seek medical advice before attempting any weight loss hacks, especially those involving prescription medications meant for other conditions. Supply shock felt in UAE Dr Mohammad Fityan, Consultant Internal Medicine and HOD Weight Management Clinic at the UAE’s Burjeel Medical City, tells Arabian Business that the hospital struggled to get diabetic patients their medications because of this TikTok-spurred trend. “We always face this [supply short- age] problem so we encourage all physicians to consult obesity-special- ised physicians before prescribing these medications.” Companies promoting these drugs, such as Novo Nordisk, for diabetes management and weight loss are steadily expanding their market- ing strategies to capitalise on the interest around them without seeming to advocate misuse. Fityan insists that these companies begin to think about addressing misuse, “especially with the global shortage a ecting patients who need these medi- cations the most.” Similarly, another medical facility in the UAE has also experiences the e ects of the supply shock. “In recent months, demand for the drug has soared which led to a shortage of injectable drugs, because of its weight loss bene ts not because of rising rates of diabetes,” Khan explains. “There are many users on social media mentioning the properties of the drugs as a good option to lose weight and now these GLp1-agnos- tics are in extreme shortage in the For those who have never self-ad- ministered an injection before, this process can be particularly difficult. Incorrect injection technique can cause mild to severe side e ects, making it important to follow the prescribed dosage and injection procedure. These drugs are intended for indi- viduals su ering from type 2 diabetes or obesity, and people who are not grap- pling with these issues should avoid them even if the promise of easy and rapid weight loss might be tempting. With a number of Dubai pharmacies selling them without asking for prescription, doctors have warned against the improper use of these drugs. Sold at exorbitant prices ranging from AED 1,146 to AED 1,712, misuse of these drugs can have serious conse- quences, including low blood sugar, dehydration and kidney damage. “I have seen and treated patients with adverse side effects from using these medications. Some cases $802BN The projected diabetes-related healthcare expenditure worldwide in 2030, according to Omnia Health market for actual patients due to misuse,” he added. Improper use Proper dosage adjustment and injection technique are crucial when taking Ozempic, Saxenda or Wegovy. Individ- uals typically start with the lowest dose and gradually increase it based on their needs. After disinfecting the injection site, the medication is typically admin- istered into the lower abdominal area, with the skin at the injection site being pinched and the needle inserted at a 90-degree angle. Once done, the injec- tion is removed and the needle unscrewed and disposed of.OUTL OOK | 16 Vol. 24/05, May 2023 were mild and seen in the outpatient clinic; few were severe enough to be admitted to the hospital,” Fityan says, adding that most of the cases were patients who obtained these medications without a prescription and took it without medical super- vision. “Most of those medications have mild gastrointestinal side e ects. As a rule, any weight loss medication has to be stopped if the patient suffers from side e ects or does not respond to the medicine. Initially, no response means weight loss of 5 percent of body weight within three months of the e ective dose,” Fityan says. Bareen International Hospital’s Khan also says that he has come across a few cases of nausea, vomiting and abdominal pain in patients who obtained them with a doctor’s prescription, leading them to take the wrong dosage. A new, and widely believed to be even more powerful drug Mounjaro is looming on the horizon. In a clinical study, the drug yielded exceptional results for weight loss, helping a typical individual with obesity who weighed just over 104kgs to lose up to around 22.6kgs a 17-month test period. “Mounjaro is a new injectable medi- cation recently approved and released for treating type 2 diabetes. It shares some similarities to other medicines $466 The price of Saxendra injection pen Medication There are many users on social media mentioning the properties of the drugs as a good option to lose weightarabianbusiness.com 17 | OUTL OOK like Ozempic and Saxenda regarding the mechanism of action with some di er- ences,” Fityan says. Although it has not yet been approved for weight loss, the drug is already available in the UAE. “It is planned for the medication to be proposed to get approval for weight management in non-diabetic patients,” he adds. ‘Quick x’ culture and eating disorders According to Clinical Psychologist Dr Reena Thomas of Dubai’s Medeor Hospital, the pressure of social media and the quest for the “perfect” body has led to a surge in people attempting this weight loss hack without proper medi- cal supervision. “People go for these drugs desiring e ortless, immediate relief,” Thomas tells Arabian Business. “They are in constant search of “e ective methods” to reduce weight and get easily in u- enced by the publicity of its benefits through social media.” The rise in body image issues due to social media over the years has created fertile ground for pharma companies to capitalise on this and promote the use of these drugs for weight loss, which will, in turn, help boost peoples’ self-esteem. In recent months, demand for the drug has soared which led to a shortage of injectable drugs, because of its weight loss bene ts not because of rising rates of diabetes Many have ocked to these inject- ables to manage their weight rather than adopting a healthier behavioural approach to weight loss. Thomas says that this is an unhealthy mindset to adopt, especially when it comes to those who have histor- ically su ered from eating disorders. “Emotional or binge eating is evident even amongst these people who go for quick remedies just like the ones that go for Bariatric surgery,” says Thomas. “To complicate further, their self-esteem issues, body image distur- bances and emotional issues remain unsorted. They continue bingeing patterns and adopt unhealthy coping measures.” To solve these issues from an early age, she suggests that children be taught about resilience, coping skills, self-es- teem and social responsibility. Parents, teachers, and friends play a crucial role in helping vulnerable chil- dren feel loved and worthy, she explains, which can help them to defocus from their negative body image and faulty perceptions. “I would not advise injectables or quick xes but rather educate them about the condition and convince them to seek help. Above all, parents or immediate family members and friends need to have the insight to identify the symptoms at an early stage,” Thomas said. “Instead of giving ultimatums and threatening the consequences, they can be more supportive and loving to them. They can make them feel understood and refer to the healthcare providers or mental health professionals. They need to align with each other to give proper education to the clients, help balance the nutrients and address the biopsy- chosocial factors contributing to it.” Medications and psychotherapies can be e ective in helping emotional eating and related disorders such as body dysmorphia, and children need to be taught healthier ways to deal with emotional pain, she says. Big pharma The pressure of social media and the quest for the “perfect” body has led to a surge in people attempting the weight loss hack without proper medical supervisionSUSTA I N A BILITY | 18 Vol. 24/05, May 2023 How to manage the Middle East’s diverse and dynamic workforce There has been a push for more innovative approaches which encourage collaboration and open communication between employers and staff Local talent The Middle East is home to a large and growing indigenous population LEADERSHIP | I n a fast-changing region such as the Middle East, it’s not surpris- ing that the features of its 2023 workforce re ect these dynamics. The region is home to a diverse, young, ambitious and educated workforce seeking new opportunities in multiple industries which, coupled with the seismic ‘Vision’ initiatives across most countries, make for a very interesting labour market. With so many demographic groups represented – approximately 50 percent of the GCC’s population is expatriate – it’s hard to identify a single persona or typical ‘worker’ in the region, however what tends to BY JOE HEPWORTH, DIRECTOR, OCO MIDDLE EAST, AND FOUNDER OF THE BRITISH CENTRES FOR BUSINESS (BCB)arabianbusiness.com 19 Workplace diversity With many demographic groups represented it’s hard to identify a single persona or typical ‘worker’ in the region Qualities Many employees in the region are looking for employers that possess a positive reputation in the community, says Hepworth unite all these migrants is the desire to seek better job opportunities and higher salaries than might be available in their home locations. Additionally, the Middle East is home to a large and growing young indigenous population: according to the World Bank, the median age in the Middle East and North Africa (MENA) is 25 years old. This youthful tranche is typically well-educated, ambitious and tech-savvy, making them both an essential part of the region's work- force, and also a key challenge for regional governments to ensure that there are su cient credible employ- ment opportunities. This expatriate – local balance is a critical issue. Countries across the GCC all have ‘isation’ policies to encourage and compel localisation of roles according to certain ratios and criteria, whilst also trying to encourage FDI and inward migration of talent, given its obvious economic impact. The recent growth of schemes across the region that allow for long- term residency – the UAE’s Golden Visa; Premium Residency in Saudi Arabia; Permanent Residency in Qatar, etc – are evidence that localisation schemes aren’t mutually exclusive to expat attraction policies, and that both can be espoused simultaneously. Wit h s uch a m e l ting po t of cultures, it’s also hard to define a singular management style in the Middle East which obviously varies depending on the industry, company culture, and country. However, many Middle Eastern rms tend to have a hierarchical management structure, with a clear chain of command. This style of management can be challeng- ing for younger workers who are used to more collaborative and inclusive work environments and in recent years, there has been a push for more modern and innovative approaches which encourage collaboration and open communication. On a related note, in the UAE it's interesting to see how many compa- nies have returned to the full ve days per week o ce presence with quite an obvious division of this being obliga- tory with many local firms, whilst international companies tend to have continued with flexible and hybrid work-from-home policies. In this dynamic environment, young workers are increasingly look- ing for job security, professional development and opportunities to advance their careers; they are also looking for companies that prioritise work-life balance and embrace a posi- tive company culture. Additionally, with the rise of social media, many in the Middle East are looking for employers that have a strong online presence and have a positive reputa- tion in the community and on the global stage, and that their credo and values align with the company’s. This all makes for an interesting challenge for managers in the region. From my own experiences leading a team of 17 people here in Dubai, made up of 11 di erent nationalities (a real UAE microcosm!) I’ve found that sta from all cultures and countries value authenticity, openness and honesty without fail. In such a multicultural environment, it’s impossible to be all things to all (wo)men, so better to f ocu s o n a c o re ma n ag e m ent approach, where you can be true to yourself and that all sta can identify with, regardless of nationality or background. In this dynamic environment, young workers are increasingly looking for job security, professional development and opportunities to advance their careers | LEADERSHIP 9 MILLION The total expat population in the UAE in 2023 according to a research by Global Media Insight (GMI)Next >