TRENDS symposium explores the future of the digital economy, opportunities and challenges

Experts and specialists confirmed that the structure of the labor market, its regulations, requirements and social foundations are evolving into a more suitable environment for work in the new digital economy. This change shall create millions of jobs that require training and special technical skills. Experts are expecting a growth of the temporary job economy and freelance professions. They said that cryptocurrencies have become a major player in shaping the reality and future of the digital economy and that reliance on artificial intelligence systems and open online banking services has reshaped the landscape of the global financial sector.

They participants indicated that the Blockchain revolution will have a great impact on financial transactions. This would be similar to the change that the Internet brought to the field of information. Therefore, businesses should explore the potential role of Blockchain in their corporate dealings and be prepared to adopt the technology when it matures. Experts said that the size of the global Blockchain technology market is expected to exceed $29 billion by the year 2025.

These contributions came in an online seminar entitled: “The future of the digital economy: Opportunities and challenges in the era of wireless communication,” The event was organized by Trends Research and Advisory, Dubai Office Sector.

Integrating technology with industry

The discussion was moderated by Sultan Al-Rubaie, Deputy head of Research and Sector at Trends Research and Advisory. He said that the current Fourth Industrial Revolution is driven by significant technological progress that takes into consideration the increasingly close interactions between humans and machines. However, unlike the previous industrial revolutions, this one is human-centered. He explained that communications and technology are the main drivers behind this Fourth Industrial Revolution.

The Freelance economy

Dr. Khaled Al-Wazani, Associate Professor of Public Policy at the Mohammed bin Rashid School of Government, said that the rise of the freelance or gig economy and self-employment trend in the digital age requires more skills and training of the future workforce. He added that it has been circulated that “the post- Covid-19 world is no longer the world we knew before the pandemic.” This the reality is true of many areas, and the global economy is no exception.

Dr. Al-Wazani indicated that the freelance economy, which is a new development in the labor market, has become one of the main contributions by young people to fill the gaps in the national and global labor market. However, millions of new jobs will appear that require specific training and skills. Dr. Al-Wazani stressed that the future will witness more of the temporary- contract economy and freelancing in the digital age.

Three Distinct Job Skills

Dr. Khaled Al-Wazani explained that the future of jobs confirms that technical skills will become the major factor in determining the future workforce. There are three skills that employers will look for in the potential job market, which are: communication skills, time management and professional competence, digital literacy, and mastery of an international language. The main source of new jobs from 2023 to 2027 shall depend on four sectors of the freelance economy: “block Data Engineering, Agricultural Technology and Sustainability, Artificial Intelligence and Cloud Computing, and Digital Platforms and Technologies.”

Cryptocurrencies

Professor Asma Salman, Dean of the College of Business Administration at the American University in the Emirates, pointed out that cryptocurrencies play a major role in shaping the reality and future of the digital economy. Cryptocurrencies facilitate unlimited financial transactions and global trade between countries, and represent an alternative store of value and an innovative means for the growth of trade exchange.

Professor Asma Salman added that financial technology has revolutionized the way the world conduct business today. She explained that expectations indicate that global blockchain technology revenues will witness tremendous growth in the coming years, as the market size is expected to exceed $29 billion by 2025.

The future of finance

Luis Maldonado, professor at IE University and global Consultant specialized in Fintech and Sustainability spoke about the “future of finance,” as he believes that the financial industry is witnessing a critical moment of turmoil. The boundaries between industries have become blurred due to the use of technology and the greater reliance on digitalization.

Prof. Luis added that reliance on artificial intelligence systems and open banking services has reshaped the global financial sector landscape. He indicated that there are factors that contributed to the rapid development of the finance technology (fintech), including: the 2008 financial crisis, which fueled innovation outside the banking industry, and the relevant contributions of platforms such as Google, Apple, Facebook, and Amazon, in raising the level of user experience, and the coinciding maturity of technology.