Navigating the Upcoming Regional Economic Landscape for Leaders

The sector likewise dealt with broader macro headwinds, consisting of a more mindful policy backdrop in China and worldwide risk-off sentiment driven by geopolitical stress and higher energy prices. Thematic ETFs Had a hard time for the most part, especially those connected to carbon and high-growth innovation, as evaluation pressures and global rate characteristics weighed on performance.

Flows in Q1 2026 were modest and highly concentrated, showing selective allocation rather than broad market involvement. Despite weak efficiency, ETFs tape-recorded $27.1 million in net inflows, with just a small number of items bring in new capital.

Trading activity stayed steady, with average 30-day volumes around 33,000 shares, focused in a handful of bigger and more liquid ETFs. A lot of activity appears to have taken place in the secondary market, allowing investors to adjust positions without considerable primary developments or redemptions. While current geopolitical events have led to more monetary pressure on GCC nations, the area stays resistant and well capitalized to handle the situation.

In January, Boreas released its S&P Global Luxury UCITS ETF, including a niche thematic exposure focused on international luxury and customer brands. ETFs by the CMA for cross-listing on ADX.

Q1 2026 showed some progress connecting to ETFs in the GCC. We expect more international and thematic ETFs to list in the GCC throughout 2026. While the dispute has actually affected sentiment and rates during the quarter, it has actually driven more volume and interest in regional properties.

How to Leverage GCC Research for 2026 Growth

Despite continuous geopolitical tensions and security risks across the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to show strength, preserving positive development momentum in recent years. While disputes in the broader area and international economic uncertainty remain a structural restraint, GCC nations have so far limited their effect on domestic economic efficiency through strong financial positions, policy connection, and continual investment.

The World Bank, on the other hand, projects 3.2 percent development in 2025, accelerating to 4.5 percent in 2026. The IMF similarly sees momentum improving, with GCC output growth predicted to rise from 1.7 percent in 2024 to 3.3 percent typically in 2025, reflecting a shift towards more favorable total conditions.

The IMF's World Economic Outlook (October 2025) projects global growth easing to 3.1 percent in 2026, with sophisticated economies around 1.5 percent and emerging market and developing economies simply above 4 percent. On that comparison, a 4.44.5 percent GCC expansion would position the area 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 fairly high-growth pocketprovided that regional threat conditions remain contained and reform momentum holds.

Corporate Strategy for GCC Excellence

Information from the GCC Statistical Center show that non-oil sectors currently account for more than 73 percent of overall GDP, a share that has continued to increase as federal governments expand investment in services, facilities, and innovation. 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 increasing financial investment in technology and AI-related infrastructure.

Public-sector financial investment and reform stay main to sustaining this trend. Policy measures targeted at drawing in foreign direct financial investment, alleviating foreign ownership guidelines, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and decrease the region's direct exposure to oil rate volatility. While hydrocarbons no longer control the development outlook, oil incomes are anticipated to play a helpful function in 2026.

The World Bank, on the other hand, projects 3.2 percent development in 2025, speeding up to 4.5 percent in 2026. The IMF Sees momentum improving, with GCC output development forecasted to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift toward more favorable general conditions.

The IMF's World Economic Outlook (October 2025) projects global growth relieving to 3.1 percent in 2026, with innovative economies around 1.5 percent and emerging market and establishing economies just above 4 percent. On that contrast, a 4.44.5 percent GCC growth would place the region materially ahead of the world average and a little above (or broadly in line with) the emerging-market aggregate, reinforcing the GCC's status as a reasonably high-growth pocketprovided that local risk conditions remain included and reform momentum holds.

ANSR July GCC PRs 50DR+

Ways to Leverage Market Research for 2026 Success

Data from the GCC Statistical Center show that non-oil sectors already account for more than 73 percent of overall GDP, a share that has continued to increase 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 innovation and AI-related facilities.

Public-sector financial investment and reform remain central to sustaining this trend. Policy procedures intended at attracting foreign direct financial investment, easing foreign ownership rules, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil growth and decrease the area's direct exposure to oil cost volatility. While hydrocarbons no longer control the growth outlook, oil earnings are anticipated to play a supportive role in 2026.