IMPLEMENTING STRATEGIC AI POLICIES FOR ETHICAL AND SUSTAINABLE SMART CITIES

SUMMARY: Integrating artificial intelligence (AI) into smart city initiatives holds immense potential to enhance urban sustainability, efficiency, and liveability. However, the ethical and effective implementation of AI technologies in smart cities requires developing and implementing robust policies and governance frameworks. This study explores the critical role of ethical AI policies in the development of smart cities. This study examines the role of ethical AI policies in enabling sustainable and inclusive smart city development. A mixed-methods approach is adopted, combining a narrative review to establish the conceptual foundations and core principles of ethical AI, a PRISMA-guided systematic review to identify implementation challenges and mitigation strategies, and a SWOT analysis to comparatively evaluate national AI policy frameworks across five Northern European countries: the United Kingdom, Germany, Finland, Denmark, and Norway. The findings demonstrate that ethical AIpolicies are strategically influential across key smart city domains, particularly mobility, energy, governance, infrastructure, and environmental management. While countries with clear financial commitments and long-term strategic planning exhibit stronger policy readiness, persistent barriers remain, including interoperability challenges, data privacy and cybersecurity risks, limited regulatory standardisation, and AI skills shortages. This research offers original cross-national insights into ethical AI governance for smart cities and provides policyrelevant recommendations to support ethical, resilient, and sustainable urban development.