Al Khayyat Investments (AKI) has signed two Memorandum of Understanding (MoUs) to enhance bilateral economic cooperation and promote sustainable trade and investment between the UAE and the People’s Republic of China.

The signing ceremony took place in the presence of Sheikh Theyab bin Mohamed bin Zayed Al Nahyan, deputy chairman of the Presidential Court for Development and Fallen Heroes’ Affairs, and Dr Thani bin Ahmed Al Zeyoudi, UAE Minister of Foreign Trade. The agreements were signed by Zaid S Al Khayyat, MD of Al Khayyat Investments (AKI), with Cainiao, an Alibaba company, to advance collaboration in logistics and technology, and BioBAY, focusing on cooperation within the life sciences sector.

The MoUs were formalised during Al Khayyat Investments’ participation at the 8th China International Import Expo (CIIE) in Shanghai, at the China, UAE Economic & Trade Cooperation Promotion Conference, where the UAE was the Guest of Honour Country.

These partnerships mark a significant milestone in AKI’s expansion and reflect the shared commitment of the UAE and China to foster innovation, trade, and economic growth.

Dr Thani bin Ahmed Al Zeyoudi said the partnerships clearly demonstrate the growing economic bonds between the UAE and China:

“The UAE and China are two nations that believe in the importance of trade to economic growth and development, and we continue to pursue opportunities in each other’s markets. Our partnership is already forward-looking, and we both want to explore where the new opportunities lie. These MoUs between Al Khayyat Investments and Cainiao and BioBAY represent the latest steps towards cementing the trade and investment ties between our two private sectors in vital, high-growth industries.”

Zaid S Al Khayyat, MD of Al Khayyat Investments (AKI), said:

“Our partnerships with Cainiao and BioBAY reflect AKI’s continued expansion and our deepening engagement with China. The UAE and China share a common vision for innovation-driven, sustainable development, and through these agreements, we look forward to unlocking new opportunities in logistics, technology, and life sciences and more that benefit both economies and the region.”

noon Minutes, the on-demand quick-commerce service by noon, successfully carried out multiple fully autonomous drone deliveries during DriftX, an international exhibition for smart and autonomous technologies held as part of Abu Dhabi Autonomous Week. The demonstration, which required no human control, showcased the future of last-mile logistics and marked a major step toward making autonomous delivery a standard in the UAE.

Visitors to the noon stand at DriftX were able to order products directly from a touchscreen and receive their deliveries by autonomous drone in under 15 minutes. Over the two-day event, noon completed more than 50 autonomous deliveries, ranging from food to toys and personal care items, underscoring its commitment to innovation and ongoing investment in next-generation technology aimed at making deliveries faster, smarter, and more sustainable.

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The activation was powered by key technology partners: the Technology Innovation Institute (TII), which provided the autonomy system; SteerAI, which supplied the fleet-management software coordinating each flight; and LODD, which provided and monitored the drone hardware.

This showcase followed successful testing in late October, when a drone delivered a two-kilogram parcel from a noon Minutes mini-fulfillment center to another mini-fulfillment center in Bani Yas in under four minutes. The project was carried out under the oversight of the General Civil Aviation Authority (GCAA), which is collaborating with the Advanced Technology Research Council to define airspace regulations and develop advanced airspace-management systems for the UAE.

Strategic shift towards autonomous last-mile logistics

Ali Kafil-Hussain, noon’s CBO, said, “We’re working hard to completely rethink delivery, making it faster and better for the planet. With the support of TII, SteerAI, and LODD, we’re bringing this vision to life. Our aim is: to set a new standard for delivery, ensuring everyone gets their order quickly and reliably, whether they live in the city center or in a remote area.”

Dr Najwa Aaraj, CEO of the Technology Innovation Institute, added, “TII’s AI-driven autonomy stack integrates advanced perception, decision-making, communication, localisation, and navigation to enable unmanned vehicles to operate quickly, precisely, and safely, changing the way we define mobility.”

Michael Sonderby, Acting CEO of SteerAI, emphasised the importance of systems integration. “Autonomous technology requires careful oversight and management to deliver impact. CoreConnect, our fleet management system, enables real-time mission planning, deployment, and tracking of any vehicle or drone, ensuring fast, safe delivery. This milestone shows how integrated autonomous systems can drive real, scalable results.”

Rashid Al Manai, CEO of LODD, noted, “We are reimagining last-mile delivery to be faster and more sustainable for every customer. This partnership sets a new standard for sustainable, reliable delivery in the UAE. AI-powered coordination and autonomous systems will redefine how we move goods across cities.”

Scaling towards industry adoption

Following the successful activation at DriftX, noon and its partners are now focused on transitioning autonomous last-mile delivery from demonstration to day-to-day operational reality. The next planned milestone will allow customers to choose drone delivery directly in the noon app, complete with real-time tracking and visibility as parcels travel from noon’s warehouses to customers’ doorsteps, within a 15-minute delivery standard.

The technology will also expand delivery access to areas difficult to reach by traditional methods, including islands, farms, and emerging residential zones. The initiative is expected to help noon Minutes deliver faster and more reliably to communities across the UAE, supporting the broader national agenda of enabling intelligent mobility and advanced logistics.

talabat and K2 Sign MoU to pilot commercial drone deliveries

In a parallel development further accelerating the UAE’s autonomous-delivery landscape, talabat UAE, the on-demand delivery platform in MENA, signed a Memorandum of Understanding (MoU) with K2 on November 19 to pilot a commercial drone-delivery service for food and groceries. The agreement reflects both organisations’ commitment to innovation, community impact, and sustainable growth.

The collaboration brings together two market leaders with a shared vision for enhancing service ecosystems and creating long-term value across several customer touch points. The pilot will explore a drone-to-station delivery model designed to improve delivery efficiency, reduce operational emissions, and streamline logistics in high-demand areas, a WAM report said.

Mayank Khaitan, director of Logistics at talabat, said, “At talabat, innovation is at the core of how we evolve the last-mile experience for our customers and riders. Our partnership with K2 marks an important step in exploring autonomous delivery capabilities that make our operations smarter, safer, and more efficient. By integrating cutting-edge technology with scalable delivery solutions, we’re supporting the UAE’s vision for a future where intelligent mobility drives real impact.”

Waleed AlBlooshi, VP of Strategy at K2, added, “Our collaboration with talabat marks another important step in shaping Abu Dhabi’s autonomous future. By integrating drone delivery into K2’s smart-city ecosystem, we are proving that autonomy is no longer a concept, it is a real service that improves everyday life. Together with talabat, we’re building scalable, practical solutions that will redefine last-mile delivery across the UAE.”

Through this pilot, talabat and K2 will explore how drone delivery can be integrated into urban environments, testing models that enhance delivery efficiency, reduce emissions, and improve operational workflows. The initiative reinforces both companies’ commitment to innovation and learning, while supporting the UAE’s vision for smarter, future-ready logistics.

Ninety-four per cent of data leaders in the UAE admit they do not have full visibility into how their AI systems make decisions, according to a new report from tech company Dataiku, highlighting rising governance risks as the country accelerates its AI ambitions.

The Global AI Confessions Report: Data Leaders Edition, conducted by The Harris Poll for Dataiku and based on a survey of more than 800 senior data executives across eight countries, shows the UAE’s rapid AI adoption is being undermined by traceability and explainability gaps.

Only 17 per cent of UAE respondents said they always require AI systems to “show their work”, one of the lowest levels globally, while nearly two-thirds, or 62 per cent, said they were not confident their organisation’s AI systems could pass a basic audit of their decisions.

Despite these concerns, 72 per cent said they would trust an AI agent to make autonomous decisions in critical business workflows even if it could not explain its outputs, suggesting that implementation is outpacing oversight.

Just half of UAE respondents said they had ever delayed or blocked an AI deployment due to explainability concerns.

The findings come as the UAE pushes ahead with its National Strategy for Artificial Intelligence 2031 and seeks to position itself as a global hub for AI innovation.

Report finds leaders face pressure when it comes to AI adoption

The report, however, shows data leaders feel mounting pressure from the top.

Nearly six in 10 respondents, or 59 per cent, said their C-suite overestimates the accuracy of AI systems, while 64 per cent believe leadership underestimates the time and complexity needed to make AI production-ready.

A third of UAE data leaders, 32 per cent, reported being asked to approve an AI initiative that made them uncomfortable, and 75 per cent said their company’s AI strategy is driven more by technological ambition than by business outcomes.

Global expectations around accountability also appear weaker in the UAE.

While 56 per cent of data leaders worldwide believe a CEO will be forced out by 2026 over an AI-related failure, only 35 per cent of UAE respondents share that view, the lowest among surveyed markets.

More than half, or 53 per cent, said they do not feel their own roles are at risk if their organisation fails to achieve measurable business gains from AI in the next one to two years, marking the highest perceived job security in the study.

“An alarming revelation of the report is that enterprises in the UAE, much like those globally, are betting on AI they don’t fully trust, and doing so with a sense of confidence that they won’t bear much consequence if things go wrong,” said Florian Douetteau, co-founder and CEO of Dataiku. “The encouraging news is that governance challenges, such as explainability and traceability, can be overcome.”

Despite the risks, the study also found UAE data leaders are prioritising accuracy above financial considerations, with 57 per cent naming performance reliability as their top priority compared with only 10 per cent who cited cost.

Local executives remain cautious about applying AI to sensitive functions: 55 per cent said they would never allow AI agents to make hiring or firing decisions, 48 per cent would exclude AI from legal or compliance work, and 39 per cent would avoid using AI for mental health or employee wellness support.

“UAE organisations are leading the charge in adopting AI at scale, but the findings show that work must still be done to ensure responsible growth remains the priority,” said Sid Bhatia, Area VP and GM – Middle East, Turkey & Africa at Dataiku.

The Harris Poll conducted the research online from August, surveying 812 data leaders across the US, UK, France, Germany, the UAE, Japan, South Korea and Singapore.

Respondents work for companies with annual revenue of at least one billion dollars or regional equivalents and hold titles ranging from vice-president to C-suite level.

Dataiku, backed by investors including Wellington Management, Battery, CapitalG, ICONIQ, and FirstMark, positions itself as The Universal AI Platform, designed to deliver explainable and scalable AI across enterprises.

Gold prices dropped for a third consecutive session on Monday, as the dollar firmed near six-month highs, while investors awaited more clarity on the US interest rate trajectory.

Spot gold was down 0.3 per cent at $4,055.73 per ounce, as of 0636 GMT. US gold futures for December delivery fell 0.7 per cent to $4,052.40 per ounce.

Read more-Markets shift: Gold sinks while dollar surges after Fed’s rate projections

“The dollar index is up near six-month highs, it’s above 100 and if it continues to trade above 100, then there will be further pressure on gold prices,” said Jigar Trivedi, senior research analyst at brokerage Reliance Securities.

The dollar held near the six-month highs hit on Friday, making greenback-priced gold more expensive for holders of other currencies.

The probability of a Fed rate cut next month inched down to 69 per cent on Monday, after jumping to 74 per cent in the previous session, according to the CME FedWatch Tool.

Bets of rate cuts had surged to 74 per cent from 40 per cent on Friday following dovish comments from New York Fed President John Williams.

Other Fed members maintained a hawkish stance, with Dallas Federal Reserve President Lorie Logan calling for leaving the policy rate on hold “for a time” while Fed presidents for Chicago and Cleveland both warned that cutting rates further right now carries a wide range of risks for the economy.

Gold, a non-yielding asset, tends to do well in low-interest-rate environments.

Fedwatch

“Next three to five weeks will see a flattish to negative undertone in gold as there is no major significant support coming for the bulls in the absence of geopolitical tensions,” Trivedi added.

The US and Ukraine were set to continue work on Monday on a plan to end the war with Russia after agreeing to modify an earlier proposal that was widely seen as too favorable to Moscow.

Elsewhere, spot silver was flat at $49.99 per ounce, platinum rose 1.6 per cent to $1,535.85, and palladium added 1.1 per cent to $1,390.13.

The GCC is undergoing a transformative shift in foreign direct investment (FDI), with capital flowing into the region driven by regulatory reforms, economic diversification, and sector-specific opportunities, says Mohanad Yakout

The landscape of foreign direct investment (FDI) in the Gulf Cooperation Council (GCC) has entered a defining new chapter. A decade ago, the region was viewed primarily through the lens of hydrocarbons and state-led megaprojects.

Today, global capital is flowing into the Gulf for very different reasons: regulatory liberalisation, investment-friendly laws, advanced infrastructure, and a wave of economic diversification strategies that are reshaping entire industries. For investors, the question is no longer whether the Gulf is attractive, it is where in the region the smartest capital is being deployed, and why.

The UAE remains the GCC’s most dynamic magnet for global capital, driven by its decision to allow 100 per cent foreign ownership in many onshore sectors, as well as the ongoing expansion of its free zones and special economic clusters.

The UAE is now targeting advanced manufacturing, renewable energy, financial technology, digital infrastructure, artificial intelligence ecosystems, and logistics.

Its network of comprehensive economic partnership agreements (CEPAs) with countries such as India, Indonesia, Turkey, Israel, and Central Asian partners is further boosting investor confidence by creating preferential trade lanes and long-term legal certainty.

GCC: A SAFE HAVEN

For investors seeking an execution-ready market with proven regulatory clarity, the UAE continues to offer one of the region’s smoothest landing points. Saudi Arabia, meanwhile, is where long-term, transformative capital is being deployed. The kingdom’s Investment Law of 2025, which guarantees equal treatment between foreign and domestic investors, has eliminated many historical frictions.

This reform sits alongside giga-projects, new special economic zones, and a government-backed drive to localize industry, tourism, entertainment, mining, renewable energy, and electric vehicle supply chains.

While the kingdom has yet to consistently reach its annual target of one hundred billion dollars in foreign direct investment, it is attracting a surge of large greenfield commitments. For investors with long horizons and higher risk tolerance, Saudi Arabia offers scale, vision, and first-mover advantages that are difficult to replicate elsewhere.

Oman is positioning itself as the Gulf’s emerging energy-transition hub. The spotlight is on green hydrogen, metals, petrochemicals, and logistics, backed by incentives such as long tax holidays, customs exemptions, and profit repatriation through special economic zones in Duqm, Sohar, and Salalah.

A new 2025 law streamlining free-zone regulation has already accelerated approvals and strengthened investor protection. Oman may not yet compete with the UAE or Saudi Arabia in volume, but it offers highly targeted opportunities in strategic sectors aligned with the global shift toward clean energy.

Bahrain, with its “Golden License” initiative introduced in 2023, has quietly built a niche for financial services, technology, manufacturing, and tourism. The license provides fast-track approvals, land access, and priority support for large projects. Bahrain also benefits from its free trade agreement (FTA) with the US, giving export-oriented manufacturers and service providers a unique gateway into Western markets.

Infrastructure expansion

Qatar is taking a more selective approach. Its foreign investment law allows full foreign ownership in most sectors, but the country is channeling capital toward logistics, energy services, and sports-related industries in the aftermath of its World Cup-driven infrastructure expansion.

Kuwait, though slower to reform, has introduced new rules that allow foreign branch offices and have partially eased real-estate ownership restrictions for foreign investors. Its opportunity profile will improve further if policy execution continues. Across the region, bilateral investment treaties (BITs) and free-trade frameworks are playing an increasingly strategic role.

Investors are no longer looking only at incentives such as tax holidays or zero-tariff imports, they are assessing legal predictability, dispute-resolution mechanisms, and cross-border supply-chain integration.

In this context, the Gulf’s growing web of treaties is creating a more stable, rules-based environment that global capital prefers.

Ultimately, the Gulf’s foreign direct investment landscape is no longer a one-dimensional landscape. The UAE offers the most effortless entry and the broadest sector diversification. Saudi Arabia offers the biggest transformational upside.

Oman and Bahrain deliver high-incentive, high-focus environments where approvals are fast and support is hands-on. Qatar and Kuwait present selective or developing opportunities that will reward patient capital as reforms deepen.

For global investors, the winners will be those who match their strategy to the right jurisdiction: scale in Saudi Arabia, speed in the UAE, energy-transition opportunities in Oman, niche gateways in Bahrain, and targeted plays in Qatar and Kuwait.

The Gulf is becoming one of the world’s most compelling investment theatres, smart money is already moving. The only question now is: who will seize the lead, and who will have to catch up?

The writer is a senior markets analyst at Scope Markets.

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