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Abu Dhabi Unveils Dh13-Billion Plan To Lead as the World’s First Fully AI-native Government by 2027

Abu Dhabi is setting ambitious goals for the future, announcing a Dh13-billion strategy that aims to make its government operations entirely powered by artificial intelligence (AI) by 2027. With this move, the emirate aspires to become the world’s first fully “AI-native” government, with automated processes and complete adoption of cloud computing technologies.

The Abu Dhabi Government Digital Strategy 2025-2027, led by the Department of Government Enablement – Abu Dhabi (DGE), is a transformative initiative to enhance public service delivery, optimize government functions, and drive sustainable economic growth. Along with technological advances, the strategy will create over 5,000 jobs, boosting the local economy and contributing more than Dh24 billion to Abu Dhabi’s GDP.

The core objective of this initiative is to embed AI, cloud technologies, and data-driven insights into the very DNA of the government. “By incorporating these cutting-edge technologies, we will optimize our operations, improve public services, and ultimately support sustainable economic growth,” said Ahmed Hisham Al Kuttab, Chairman of DGE.

Key aspects of the strategy include the establishment of a unified digital enterprise resource planning (ERP) platform, which will improve government efficiency and streamline processes. As part of the “AI for All” program, the initiative will also focus on empowering citizens by training them in AI applications, ensuring a highly skilled workforce ready to meet the demands of a rapidly evolving technological landscape.

Moreover, the government is committed to implementing over 200 AI-driven solutions across various public services, ensuring that these innovations reach all facets of governmental operations. Alongside the technological advancements, comprehensive cybersecurity measures will be introduced, with new digital guidelines aimed at maintaining the highest standards of security.

This move is not only a strategic shift towards a fully digital government but also a bold step towards positioning Abu Dhabi as a global leader in the adoption of artificial intelligence and advanced technologies in the public sector.

Municipalities Required To Balance 2026 Budgets Within Means

Twenty Cypriot municipalities are set to replicate the fiscal discipline of 2025 for their 2026 budgets, ensuring that expenditures remain within strict financial limits by employing a state grant totaling €117 million.

Enhanced Funding Under Local Government Reform

The state grant, which has increased by €45 million following the Local Government Reform effective from July 1, 2024, is distributed based on factors such as population, area, and residential density. This recalibration underscores a commitment to equitable distribution and data-driven fiscal planning.

Detailed Distribution Among Municipalities

Nicosia leads the allocation with €22.55 million, followed by Limassol at €17.03 million. Other major municipalities include Larnaca at €10.09 million and Strovolos at €9.28 million, while Paphos and Lakatamia receive €6.65 million and €6.35 million respectively. Smaller municipalities, such as Amathounta, Paralimni-Deryneia, Latsia – Geri, and Kourio, benefit from more modest, yet strategic, funding packages.

Mandated Fiscal Prudence

The Finance Ministry’s circular requires municipalities to submit unified budgets, framed within a three-year outlook, by the end of the month. This measure reflects the ministry’s insistence on fiscal responsibility amid heightened global financial uncertainty and evolving geopolitical challenges.

Maintaining Budgetary Balance And Liquidity

Municipalities are instructed to ensure that projected revenues—including state grants and other sources—adequately cover all operating expenses. The circular mandates that cash flow must remain neutral or positive, thereby safeguarding the municipality’s capacity to meet immediate financial obligations, such as loan repayments.

Realistic Projections And Strategic Investments

Budget guidelines emphasize realism in revenue forecasts, which must consider prevailing economic conditions and local revenue collection capabilities. Only essential and financially mature development projects, particularly those eligible for European funding, should be prioritized to ensure optimal allocation of liquid resources.

Sustainable Personnel And Employment Policies

The directive also addresses wage expenses, requiring that personnel costs remain a proportionate part of overall expenditures. Additionally, the policy strictly limits the employment of pensioners, except in state-designated roles, as a measure to maintain public sector efficiency and fiscal sustainability.

Adherence To Submission Deadlines

Municipalities are urged to comply with strict submission deadlines to allow adequate review by the Finance and Interior Ministries. Such compliance will preclude the need for fiscal adjustments and ensure that budgetary plans are aligned with the government’s strategic financial priorities.

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