According to economic data, some Middle Eastern countries expect an increase of 400 % in investments on blockchain.
Recently, data from the International Data Corporation revealed that investments in blockchain technology will increase dramatically in the coming years in the Middle East and some countries of Africa. According to the research, the sector related to blockchain technology will grow in terms of investment, even offering strong forecasts of up to 400 % increase over four years.
The growth registers a possible exponential increase compared to the year 2019. Last year, more than 21 million dollars were invested in the new technologies sector and blockchain technology. But, according to the International Data Corporation, it will have an exponential increase of approximately 105 million dollars by 2023. The money will be directed towards the growth of the industry in the Middle East and to directly finance complex development and innovation projects in the area.
The report notes, with special emphasis, that most of this growth in investment would come directly from the governments of the region, which are interested in using this technology to improve complex administration and management processes, as well as the better use of important data and information.
Finally, it is important to explain that the region of Africa and the Middle East is currently in a process of transformation and adoption of digital technology that the update of all administrative and managerial areas support as a restructuring of their performance models and methodologies. This update includes blockchain technology although this area only represents a small part of all this digital movement.
This momentum of blockchain technology by governments could be an example to allow citizens to think of this area as something to invest and experience.
Blockchain Technology for the Poorest Regions
The use of blockchain technology could be the necessary engine for the world’s poorest economies to grow in various areas of management, administration, and financing. All of this thanks to digital money. In this way, it is possible that in the Middle East they may be aware that these tools can be very useful shortly. It is for this reason that forecasts of growth in investments for blockchain technology in the Middle East are positive news for the crypto industry.
Distributed Ledger Technology (DLT), known as blockchain technology, is a disruptive technology that can significantly help companies, organizations, and institutions function more efficiently, orderly and securely than using conventional administrative ways. Its potential ensures the handling of complex processes in only a few seconds, which would take days to perform with non-digital methods. Besides, the cost of production of blockchain, development, and assembly results to be lower than traditional forms.
In this way, many experts indicate that this process of change to the digital alternatives should be treated as the Fourth Industrial Revolution, where even the poorest economies on the planet can be present and grow quickly, safely and substantially thanks to disruptive technologies.
By María Rodríguez