The Dubai Financial Services Authority (DFSA) — the independent regulator of the Dubai International Financial Centre (DIFC) — has released the findings of its 2025 Artificial Intelligence (AI) Survey, revealing a strong surge in AI adoption among financial firms within the Centre. The results show that 52% of firms are now actively using AI, up from 33% in 2024, with the most notable increase seen in Generative AI adoption, which rose by 166%.
Conducted in June 2025, the survey gathered insights from 661 Authorised Firms (an 88% participation rate) across sectors including Banking, Capital Markets, Wealth & Asset Management, and Fintech, offering a detailed view of how AI technologies are being adopted and governed within the DIFC’s financial ecosystem.
The findings indicate a significant market shift, as most firms have now integrated AI into at least one aspect of their operations. Moreover, a clear majority plan to expand their AI use further in the coming year, signalling continued growth and innovation across the sector.
The DFSA highlighted that while the pace of innovation is encouraging, it must be supported by robust governance, ethical data practices, and sound risk management. The regulator continues to collaborate with the industry to build guidance and frameworks that promote responsible AI adoption.
Justin Baldacchino, Managing Director, Supervision, of the DFSA, said, “The DIFC’s financial services ecosystem is embracing AI at pace. While AI adoption remains at a nascent stage for many firms, there is growing recognition of its strategic potential to enhance organisation-wide performance, from operational efficiency and regulatory compliance to customer engagement and sales.
Our priority at the DFSA is to balance innovation with integrity – ensuring that when firms harness AI’s potential, they do so within frameworks that protect customers, manage risk, and uphold market confidence. It is therefore important that governance frameworks evolve in parallel, with clear accountability and oversight at every stage of adoption.”
The survey also points to a measured and controlled approach to AI implementation. Many firms are prioritising internal applications over customer-facing solutions, reflecting a cautious strategy as they build expertise and develop suitable governance structures.
The DFSA reaffirmed its commitment to a risk-based regulatory approach, ensuring oversight remains proportionate and adaptive to emerging risks, while avoiding unnecessary burdens on firms.
Looking ahead, the Authority will continue to work closely with financial firms, as well as local and international regulators, to shape a framework that advances responsible innovation while safeguarding financial stability and protecting investors.
(Inputs from WAM)
