The Future of AI in GCC Post-NPM Landscape: A Comparative Analysis of Kuwait and the UAE

Comparative evidence of how two Gulf Cooperation Council (GCC) states translate artificial intelligence (AI) ambitions intopost–New Public Management (post-NPM) outcomes are scarce because most studies focus on Western democracies. To fill thisgap, we examine constitutional, collective choice, and operational rules that shape AI uptake in two contrasting GCC members,the United Arab Emirates (UAE) and Kuwait, and whether they foster citizen centricity, collaborative governance, and publicvalue creation. Anchored in Ostrom's Institutional Analysis and Development framework, the study integrates a most similar/most different systems design with multiple sources: 62 public documents issued between 2018 and 2025, embedded UAE cases(Smart Dubai and MBZUAI), and 39 interviews with officials conducted from Aug 2024 to May 2025. Dual coding and processtracing connect rule configurations to AI performance. Our cross-case analysis identifies four mutually reinforcing mechanismsbehind divergent trajectories. In the UAE, concentrated authority, credible sanctions, pro-innovation narratives, and flexiblereinvestment rules transform pilots into hundreds of operating services and significant recycled savings. Kuwait's dispersedveto points, exhortative sanctions, cautious discourse, and lapsed AI budgets, by contrast, confine initiatives to pilot mode de-spite equivalent fiscal resources. These findings refine institutional theory by showing that vertical rule coherence, not wealth,determines AI's public value yield, and temper post-NPM optimism by revealing that efficiency metrics advance societal goalsonly when backed by enforceable safeguards. To curb ethics washing and test the transferability of these mechanisms beyond the GCC, future research should track rule diffusion over time, experiment with blended legitimacy-efficiency scorecards, andinvestigate how narrative framing shapes citizen consent for data sharing