In Saudi Arabia, generative artificial intelligence (genAI) has the potential to elevate the country’s gross domestic product (GDP) by approximately US$42.3 billion, a growth which would be driven by increased productivity and automation, a new report by the Saudi Data and Artificial Intelligence Authority (SDAIA) in collaboration with Accenture says.
The report, which based on research into the country’s job structures, estimates that genAI could impact 37% of working hours across various jobs by automating 22% of worked hours, and helping employees work more efficiently for an additional 15% of hours. These improvements would provide significant opportunity for workers to spend time on revenue-generating activities or other higher value work, reshaping the workforce landscape.
Highly skilled occupations, which make up 25% of Saudi Arabia’s total employment, are expected to be greatly impacted by genAI. The technology is projected to automate or augment over half of all working hours in these roles, and potentially affecting a further third.
Finance functions lead in automation and augmentation
Within the organization, finance functions are set to see the highest impact, with 73% of tasks showing high potential for either automation or augmentation.
This aligns with findings from other industry reports, which found finance functions to be a primary focus for genAI implementation. According to a global Deloitte study conducted in Q3 2024, finance was the third most advanced area for genAI adoption in financial services, with 13% of organizations reporting mature implementations.
Common applications of genAI in finance include fraud detection and prevention, as well as credit risk modeling. A 2024 McKinsey survey found that 20% of credit risk organizations had already implemented at least one genAI use case in their organizations, and a further 60% expected to do so within a year, revealing eagerness to leverage the technology to strengthen risk management and enhance efficiency.
Similarly, a study by Forrester Consulting of more than 400 senior fraud leaders last year revealed that 73% believed genAI had permanently altered the fraud landscape. 71% agreed that AI and machine learning (ML)-based fraud solutions are critical to stay at pace with a growing fraud threat.
IT and technology also poised for change
IT and technology is another function expected to be significantly impacted, with 71% of tasks in these roles showing potential for either automation or augmentation, findings from the SDAIA and Accenture research show.
This trend is supported by findings from a Deloitte study, which highlighted IT as a leader in genAI implementation, largely due to the technology’s ability to generate computer code, streamline software development and testing, enhance bug detection and security, and automate IT support.
Insurance and financial services to see the greatest impact
In Saudi Arabia, the SDAIA and Accenture research identified insurance and financial services as the sectors most likely to be transformed by genAI. Across insurance, capital markets and banking, genAI’s potential for automation or augmentation range between 68% to 77%.
In insurance, genAI can help companies significant compress the claims lifecycle. The entire workforce, from underwriters and actuaries to claims adjusters and engineers, could have quick, accurate summaries of call transcripts, notes, legal and medical paperwork at their fingertips.
Compliance monitoring and fraud detection can also be automated with genAI, and interactive training modules on the latest regulations can be developed using genAI.
Saudi Arabia less exposed
Despite the substantial potential impact, the report notes that Saudi Arabia is less exposed to the impacts of genAI due to the larger share of total employment concentrated in major labor-intensive occupations.
For example, crafts and related trade workers are the largest group in the country, accounting for more than 21% of the total workforce. Within these roles, over 76% of tasks are not language-based, making generative AI less immediately relevant.
Overall, 48% of all jobs in Saudi Arabia are predominantly not language-based, making them less susceptible to genAI disruption in the short time.
Featured image credit: edited from freepik
