KUALA LUMPUR, June 23 -- Imagine a future where medicine is delivered by drone, emergency responders can fly blood supplies across traffic jams, and "flying taxis" shuttle passengers above congested city streets.

It may sound like science fiction to some, but governments and aviation regulators around the world have already begun experimenting with it.

In major cities in the US and China, drones regularly deliver meals, groceries, packages and medicine, while in Dubai, pilotless air taxis may soon be able to take passengers from the mall to the airport in about 10 minutes.

The concept is known as the Low Altitude Economy (LAE) - an emerging sector that uses low-level airspace, generally below 1,000 metres, as a new economic zone for tr...