Digitalization as a driver for sustainable development in the GCC economies

Digitalization is one of the key drivers of the global economy. This is especially true for the GCC (Gulf Cooperation Council) countries, which include Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE. These countries are seeking to diversify their economies and reduce their dependence on hydrocarbon exports. The introduction of digital technologies is seen as a way to diversify their economies and to adapt to the global sustainable development agenda. This study aims to assess the role of digital transformation in ensuring sustainable development of the GCC countries. Econometric modeling is used for the analysis. The main data of the model include digitalization indicators, economic, social and environmental parameters. The regression model was tested on an example from each country in the region. The results show that digitalization has a significant impact on the sustainable development of GCC countries. The article also identifies the positive and negative aspects of digitalization. • Digitalization drives sustainable development and economic diversification in GCC countries. • Innovative technologies improve resource management. • IDI index is a key predictor of digitalization impact on sustainable development. • ICT solutions reduce carbon emission in GCC region.