Last Updated on November 8, 2023 by newseditor
Modern digital advancements have produced groundbreaking new technology. Smart machines and virtual currencies are products of the Internet era that have revolutionized global society and beliefs. We are increasingly relying on technology in many aspects of our daily lives, and it is becoming increasingly important in many industries. The government of Saudi Arabia has embraced the latest, cutting-edge technologies, with a particular focus on the implementation of blockchain technology.
Saudi Arabia’s Vision 2030 is crafting a different approach to the prosperity of the State. The Saudi blockchain industry is predicted to grow by 41% between 2021 and 2025. The Gulf state is well-positioned to emerge as a leading player in global investments over the next ten years because of proactive measures being implemented to bolster the economy and expand sources of income. Diverse plans for expansion in areas including banking and finance, government strategy, project management, and policy-making indicate that blockchain will likely play a significant role in the future growth and transformation of the financial and commercial sector.
● Saudi Arabia Sees A Surge In The Blockchain Market
According to the Saudi Press Agency, the IT and innovative technology industry will reach Saudi Riyal 100 billion by 2025 with a compound growth rate of 10% annually. The blockchain industry boom is a component of this larger anticipated expansion. The current market is about SR 65 billion. Furthermore, blockchain has the power to revolutionize KSA government services despite reshaping other sectors like finance, real estate, medical, and academia. Saudi’s embrace of blockchains is the biggest step forward in this area since it advances its objectives of being a digitally advanced country. This initiative aims to promote its transformative initiatives and redefine how services are provided to residents, businesses, and the global community.
● Money Transfers With Saudi Banks To Be Automated Through Blockchain Technology
Now, the banks in KSA will deploy blockchain technology to make transactions. As part of its active involvement in supplying credit facilities, SAMA, the central bank of the Kingdom, declared in June 2020 that it had used blockchains to transfer a portion of the SR 50 billion liquidity package into the banking sector. The bank is striving to keep up with the international trends in the financial sector by implementing developing technology. Additionally, the action allows SAMA the chance to evaluate how these technologies may affect the banking industry in Saudi Arabia.
● Blockchain Enabled Digital Transformation – The Road Ahead
The business sector as a whole might be impacted by blockchain. Blockchain allows for the processing and settlement of international financial transactions to be done in a matter of hours rather than days. Additionally, costs associated with the back office operation might be decreased by up to 30%. The city of Riyadh is now starting a significant government-based change driven by blockchain. The desire of Saudi Arabia to advance digital transformation, develop better e-government, and draw international investment. This road toward digital transformation will be crucial in determining how Saudi Arabia’s economy develops in the future.