How to Leverage GCC Research for Growth

The sector likewise faced broader macro headwinds, including a more careful policy background in China and international risk-off sentiment driven by geopolitical tensions and higher energy costs. Thematic ETFs likewise struggled for the many part, particularly those linked to carbon and high-growth innovation, as valuation pressures and worldwide rate characteristics weighed on efficiency.

Flows in Q1 2026 were modest and highly focused, showing selective allowance rather than broad market involvement. Regardless of weak efficiency, ETFs taped $27.1 million in net inflows, with only a small number of items bring in brand-new capital.

Trading activity stayed consistent, with average 30-day volumes around 33,000 shares, concentrated in a handful of larger and more liquid ETFs. A lot of activity appears to have taken location in the secondary market, allowing investors to adjust positions without significant primary productions or redemptions. While current geopolitical occasions have led to more financial pressure on GCC countries, the area remains durable and well capitalized to deal with the situation.

In January, Boreas launched its S&P Global Luxury UCITS ETF, including a niche thematic direct exposure focused on global luxury and consumer brand names. Momentum continued into April with the approval of KraneShares AGIX and KWIN ETFs by the CMA for cross-listing on ADX. These funds are anticipated to launch in April pending a final approval from ADX.

Q1 2026 showed some progress associating with ETFs in the GCC. We anticipate more global and thematic ETFs to list in the GCC throughout 2026. While the conflict has impacted sentiment and costs during the quarter, it has actually driven more volume and interest in regional assets.

Advanced Planning for GCC Success

Regardless of continuous geopolitical tensions and security threats throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to demonstrate resilience, maintaining positive growth momentum recently. While disputes in the larger region and worldwide financial uncertainty remain a structural restriction, GCC nations have up until now limited their impact on domestic economic efficiency through strong fiscal positions, policy connection, and sustained financial investment.

The World Bank, on the other hand, jobs 3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. The IMF Sees momentum improving, with GCC output development projected to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more positive total conditions.

The IMF's World Economic Outlook (October 2025) projects international development reducing to 3.1 percent in 2026, with advanced economies around 1.5 percent and emerging market and establishing economies simply above 4 percent. On that comparison, a 4.44.5 percent GCC growth would place the region materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, enhancing the GCC's status as a relatively high-growth pocketprovided that local danger conditions remain consisted of and reform momentum holds.

Corporate Planning for Middle East Success

Information from the GCC Statistical Center show that non-oil sectors currently represent more than 73 percent of total GDP, a share that has continued to increase as federal governments expand investment in services, infrastructure, and technology. According to Oxford Economics, non-energy activity across the GCC is forecasted to grow by around 4.1 percent in 2026, supported by strong labor markets, enhancing credit conditions, and rising financial investment in innovation and AI-related facilities.

Public-sector financial investment and reform stay main to sustaining this trend. Policy measures targeted at attracting foreign direct financial investment, reducing foreign ownership rules, broadening capital markets, and supporting private-sector participation continue to underpin non-oil growth and reduce the region's direct exposure to oil price volatility. While hydrocarbons no longer dominate the development outlook, oil incomes are expected to play an encouraging role in 2026.

3.2 percent development in 2025, speeding up to 4.5 percent in 2026. Sees momentum improving, with GCC output growth projected to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift toward more favorable overall conditions.

The IMF's World Economic Outlook (October 2025) jobs worldwide growth reducing to 3.1 percent in 2026, with advanced economies around 1.5 percent and emerging market and developing economies simply above 4 percent. On that contrast, a 4.44.5 percent GCC expansion would put the area materially ahead of the world average and somewhat above (or broadly in line with) the emerging-market aggregate, reinforcing the GCC's status as a relatively high-growth pocketprovided that regional risk conditions remain consisted of and reform momentum holds.

ANSR July GCC PRs 50DR+

Navigating the Upcoming GCC Economic Landscape for Leaders

Data from the GCC Statistical Center show that non-oil sectors currently account for more than 73 percent of total GDP, a share that has actually continued to rise as governments expand investment in services, infrastructure, and technology. According to Oxford Economics, non-energy activity throughout the GCC is projected to grow by around 4.1 percent in 2026, supported by strong labor markets, improving credit conditions, and rising investment in technology and AI-related facilities.

Public-sector investment and reform remain central to sustaining this trend. Policy steps targeted at attracting foreign direct investment, relieving foreign ownership rules, expanding capital markets, and supporting private-sector participation continue to underpin non-oil growth and decrease the region's exposure to oil price volatility. While hydrocarbons no longer control the development outlook, oil earnings are anticipated to play a helpful function in 2026.