The United Arab Emirates, Singapore, and Norway have emerged as global leaders in the use of artificial intelligence (AI), while Pakistan continues to trail far behind in the worldwide adoption race. These findings have been revealed in Microsoft’s AI Economy Institute’s latest report titled “AI Diffusion Report 2025”.
The report examines the growth of AI across 170 countries, focusing on usage trends, innovation capacity, and integration of AI technologies across public and private sectors.
According to the report, more than 50% of the workforce in the UAE and Singapore actively uses AI tools in their everyday professional activities—placing the two nations at the top of the global rankings. In contrast, AI adoption in Pakistan currently stands at below 15%, where the majority of people have yet to utilize AI for work or learning purposes.
Industry experts attribute Pakistan’s slow progress to limited high-speed internet access, a lack of digital skills, and insufficient AI tools in local languages. The report notes that countries where people can interact with AI in commonly spoken languages—such as English or Arabic—are experiencing faster adoption.
Among Muslim nations, the UAE remains the front-runner, followed by Saudi Arabia, Malaysia, Qatar, and Indonesia—each actively investing in AI education, data centers, and government-led innovation programs.
Meanwhile, Israel has been ranked among the top seven countries developing cutting-edge AI models. The United States, China, South Korea, France, the United Kingdom, and Canada lead this list ahead of Israel.
Although Pakistan is not yet among the AI-producing nations, the report emphasizes that the country can improve its standing through better digital education, wider internet availability, and expanded skill development initiatives.
The report calls for bridging the growing AI divide between wealthy and developing nations to ensure equal access to the economic opportunities AI provides.

                                    